Hong Kong 33 CFD Index Breaks Above 20-Day MA, Eyes 25,890 in Short-Term Rally

Preferred trend bias (1-3 days)
Key elements
Alternative trend bias (1 to 3 days)

Amid this chaotic news flow environment, several technical elements are advocating the potential start of a new short-term bullish trend for the Hong Kong 33 CFD Index.

hong kong 33 cfd index breaks above 20 day ma eyes 25890 in short term rally grafika numer 1 ✕

hong kong 33 cfd index breaks above 20 day ma eyes 25890 in short term rally grafika numer 2 ✕

Preferred trend bias (1-3 days)

Bullish bias above 24,915 short-term pivotal support, with the next intermediate resistances coming in at 25,520, 25,750, and 25,890 (see Fig. 1).

Key elements

The price action of the Hong Kong 33 CFD Index staged a bullish breakout above its 20-day moving average on Tuesday, 12 August, which suggests the potential start of a new short-term bullish impulsive uptrend phase.
The medium-term and major uptrend phases remain intact for the Hong Kong 33 CFD Index as price actions continued to oscillate within a major ascending channel from the January 2024 low and a medium-term ascending channel from the 2 June 2025 low.
The hourly MACD trend indicator of the Hong Kong 33 CFD has continued to trend steadily upwards above its centerline since Tuesday, 12 August, which supports the emergence of a new short-term bullish impulsive uptrend phase.
Market breadth of the Hang Seng Index has also improved as the percentage of its component stocks trading above their respective key 200-day moving averages has increased from 1 August print of 82% to 88% as of Tuesday, 12 August (see Fig. 2).

Alternative trend bias (1 to 3 days)

Failure to hold at the 24,915 key short-term support negates the bullish tone to reinstate another round of minor choppy corrective decline sequence to retest the next intermediate supports at 24,790/24,725 and 24,600.

Kelvin Wong

Based in Singapore, Kelvin Wong is a well-established senior global macro strategist with over 15 years of experience trading and providing market research on foreign exchange, stock markets, and commodities. Passionate about connecting the dots in the financial markets and sharing perspectives around trading and investment, Kelvin Wong is an expert in using a unique combination of fundamental and technical analyses, specializing in Elliott Wave and fund flow positioning, to pinpoint key reversal levels in the financial markets. In addition, over the last ten years, Kelvin has conducted numerous market outlook and trading-related seminars, as well as technical analysis training courses, for thousands of retail traders.

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