Hang Seng Index Reaches Three-Year High

FXOpen

A month ago, while analysing the uptrend in the Hang Seng index (Hong Kong 50 on FXOpen), we noted that:
→ Positive sentiment was driven by the success of the DeepSeek startup, boosting Chinese tech stocks and mobile operators.
→ Price movements formed a bullish structure based on Fibonacci proportions.
→ Analysts predicted the uptrend could persist until the second half of March.

Today, the Hang Seng index (Hong Kong 50 on FXOpen) surged above the 24,500 level for the first time since February 2022. According to Reuters, investor enthusiasm for artificial intelligence continues to fuel the rally.

Technical Analysis of the Hang Seng Chart

New price data support the construction of a large-scale upward channel (marked in blue).

From a bullish perspective:
→ The median line of the blue channel has shifted from resistance to support (as indicated by arrows).
→ The price remains within the intermediate purple ascending channel.

From a bearish perspective:
→ The last two candlesticks show long upper wicks—an indication that sellers are active, possibly locking in profits.
→ The RSI indicator is forming a bearish divergence.

Given these factors, the price appears vulnerable to a pullback. However, the future trajectory will largely depend on fundamental factors, particularly the ongoing tariff tensions between China and the United States.

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This article represents the opinion of the Companies operating under the FXOpen brand only. It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.

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