INVESTMENT DAILY

类型：投资策略机构：凯基证券有限公司研究员：凯基证券研究所日期：2014-11-14

The Hang Seng Index is expected to trade at 23,700 to 24,100today

    Hong Kong market maintained momentum upon upcoming “Shanghai Hong Kongstocks connect”. HSI narrow traded in the morning and extended gains in theafternoon. It advanced 130 points to close at 23,938. HSCEI also climbed 78 pointsto close at 10,730. Market turnover reported HK$74.4bn. HKMA announced toremove RMB exchange cap next Monday, BOCHK (2388 HK) gained strongmomentum, the counter rallied 3.8% to be the best performer of bluechips.

    Geographical tension between Russia and Ukraine depressed the sentiment onEurope market, US stock market also opened lower on Wednesday. Althoughbuying interest emerged helped the US stock market to recover most of its loss, theDow closed 3 points lower (at 17,612). The Nasdaq rose 14 points (to 4,675). Onthe other hand, bond price erased most of its early gain due to disappointing auctionresult. 10 Year US Treasury Yield remained nearly unchanged at 2.36%.

    Thanks to the strength seen in A share market, the Hang Seng Index continued tomove higher while initial resistance shifted upward to 24,133. On the other hand,China will report retail sales and fixed investment data on Thursday which will bemarket focus.

    Technical Analysis

    Hang Seng Index closed with gyro on Wednesday, Technically, Hang Seng Indexclosed at above 10DMA (23,785), coupled with the MACD bullish gap expanded,showing that momentum stable. Hang Seng index first support would be 10DMA(23,785), while next support would be at seen at 23,500. For resistance, 50DMA(23,813) would become the first resistance, while next resistance would be seen at24,000.