Hang Seng Bearish Mode

Hang Seng Index broke into “Bearish” territory since 21 Jun when the 50 day moving average made a bearish crossover with its 200 day moving average. The index has managed to stage a rebound together with the global stock market. However, traders were not able to push the index above its 50 day moving average and the inverted hammer candlestick pattern seems to warn that selling will resume in the coming weeks.

With the US market releasing job numbers that were below estimate, next week will be tough for the market.