Hang Seng Record Losses 0.9 Percent
Hong Kong shares suffered their biggest loss in two weeks the previous day, fell about 1 percent, due to a sharp selloff in the Chinese mainland market due to deteriorating investor sentiment.
The Hang Seng Index fell 0.9 percent, to 21,236.31, while the China Enterprises Index lost 1.2 percent, to 9,134.42 points.
The market is relatively quiet in morning trade after overnight gains in the US and Europe. But the major indexes then dragged lower by the Shanghai market, which recorded the worst performance in eight weeks the previous day.
All major sectors fell in Hong Kong, with the energy and utilities sector among the biggest decline.
Index heavyweight Tencent Holdings Ltd., fell 1.9 percent. Its founder Pony Ma said he plans to donate 100 million shares, valued at more than $ 2 billion, to fund a new charity in one of China’s largest philanthropic pledge.
Technically,
Resistance: 21330 21400 21 510 Prev. High / Low: 21494/21122
Support: 21200 21120 21040 Closed Price: 21 271
Comment: For intraday trade today suggest Buy at the level of 21150 stop loss at 21100 targets at the level of 21450.
Yen Looks Flat Against Dollar
The yen traded flat in the Asian session, following some upbeat data from the US last night. Thursday (21/4)
USDJPY flat at 109.79 level. Last night, the US dollar erased losses against other major currencies as of the data showed that existing home sales in the US rose.
National Association of Realtors said that existing home sales rose by 5.1% in March to a level of 5:33 million units from 5.07 million units in the previous month. US dollar index, which measures the strength of the greenback against six other major currencies, rose 0.50% to a level of 94.54.
Technically,
Resistance: 110.10 110.50 110.90 High / Low: 109.88 / 109.73
Support: 108.50 109.00 109.50 Running Price: 109.82
Comment: For intraday trade today suggest sell at the level of 110.00 stop loss at the level of 110.25 the target at the level of 109.00.
Oil Being at Highest Level in 2016
Crude oil ended higher on the day yesterday and was at its highest level this year after the US government reported a drop in weekly production in six consecutive weeks.
Oil prices briefly depressed after Kuwait’s oil sector workers decided to end the strike that has lasted for three days. The action had cut oil production of Kuwait by 60% to 1.5 million barrels per day.
Energy Information Administration (EAI) reported an increase in US oil stocks of 2.1 million barrels to 538.6 million barrels last week, but still lower than the American Petroleum Institute reported at 3.1 million barrels.
US oil production last week also reported sebasar 8.953 million barrels per day, down 24,000 from the previous week.
Oil ended yesterday’s trading at 43.94 level, and likely towards 44.70 area if it is able to hold above 43.90.
Technically,
Resistance: 44.70 45.00 45.50 High / Low: 43.99 / 43.80
Support: 43.50 43.00 42.50 Running Price: 43.89
Comment: For intraday trade today suggest Sell at the level of 44.40 stop and reversal during a break above the 44.70 level targets at the level of 42.80 and target of reversal at the level of 45.90.
