U.S. Stocks
Fundamental Analysis:
U.S. stocks closed sharply higher on Wednesday, 2nd March 2022, after Federal Reserve Chairman Jerome Powell hinted that the Fed may raise interest rates by less than some investors fear.
Powell’s remarks during testimony before the U.S. House Financial Services Committee helped reassure investors after Russia’s invasion of Ukraine caused chaos in the markets.
Powell also said he was inclined to support a 25 basis point rate hike in March, calming some concerns about the possibility of a more aggressive rate hike. With this, traders now expect a 95 percent chance of a 25 basis point rate hike in March.
Meanwhile, energy stocks resumed their rally, with the S&P 500 energy sector index surging by 2.2%, and Brent oil jumped to a nearly eight-year high after Western sanctions caused disruptions to shipments of Russian exports.
Technical Analysis:
(Dow 30, 1-hour chart)
Execution Insight:
The Dow focuses on the 33233-line today. If the Dow runs stably above the 33233-line, it will pay attention to the suppression of the 34088 and 34477 positions. If the Dow breaks below the 33233-line, it will pay attention to the support strength of the 32781 and 32455 positions.
Hong Kong Stocks
Fundamental Analysis:
The three major indexes of Hong Kong stocks rose collectively. The Hang Seng Index (HSI) rose 0.4%, the Hang Seng China Enterprises Index (HSCEI) fell 0.01%, and the Hang Seng TECH Index (HSTECH) rose 0.2%.
Affected by the collective surge of the U.S. gaming stocks overnight, Hong Kong casino stocks rose across the board, with Sands China Ltd. (1928.HK) rising by nearly 5%.
Meanwhile, F&B stocks strengthened significantly, Jiumaojiu International Holdings Limited (9922.HK), and Haidilao International Holding Ltd. (6862.HK) rising by more than 2%.
On the other hand, domestic housing stocks, property management stocks, biotechnology stocks, most of the insurance stocks rose, and non-ferrous metal stocks continue to strengthen. Aluminum Corporation of China Limited (2600.HK) rose more than 3%.
Photovoltaic stocks continue to sink, with Xinyi Solar Holdings Limited (0968.HK) falling by nearly 4%, Shenzhou International Group Holdings Limited (2313.HK) plunging by nearly 15%, and Techtronic Industries Company Limited (0669.HK) opening by nearly 8% higher.
Technical Analysis:
(HK50, 1-hour chart)
Execution Insight:
HK50 Index focuses on the 22785-line today. If HK50 can run stably above the 22785-line, then pay attention to the suppression strength of the two positions of 23294 and 23818. If the HK50 strength breaks below the 22785-line, then pay attention to the support of the 21450-line.
FTSE China A50 Index
Technical Analysis:
(FTSE China A50, 1-hour chart)
Execution Insight:
FTSE China A50 pays attention to the suppression strength of the 15184-line today. If the A50 runs stably below the 15184-line, it will pay attention to the support strength of the two positions of 14669 and 13983. If the A50 strength breaks through the 15184-line, it will open up a further upward trend. At that time, pay attention to the suppression strength at the 15666-line.
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Please make sure you read and fully understand the trading risks of the respective financial instrument before engaging in any transaction with us. You should seek independent professional advice if you do not understand the risks disclosed by us herein.
Disclaimer
While every effort has been made to ensure the accuracy of the information in this document, DOO Prime does not warrant or guarantee the accuracy, completeness or reliability of this information. DOO Prime does not accept responsibility for any losses or damages arising directly or indirectly, from the use of this document. The material contained in this document is provided solely for general information and educational purposes and is not and should not be construed as, an offer to buy or sell, or as a solicitation of an offer to buy or sell, securities, futures, options, bonds or any other relevant financial instruments or investments. Nothing in this document should be taken as making any recommendations or providing any investment or other advice with respect to the purchase, sale or other disposition of financial instruments, any related products or any other products, securities or investments. Trading involves risk and you are advised to exercise caution in relation to the report. Before making any investment decision, prospective investors should seek advice from their own financial advisers, take into account their individual financial needs and circumstances and carefully consider the risks associated with such investment decision.
