Chart of the day: HSI going strong
Hong Kong’s benchmark Hang Seng Index is Asia’s best performer for the year to date, having gained 31 per cent. Friday’s strong finish is important as it was higher than anything since 2007 on a weekly closing basis, when the gauge ended the session at 30,405 points on October 20 and 30,468 points on November 2, the week when it hit a record 31,958 points. Although it has been overbought since July, this has not hampered its progress yet and may not do so for the rest of this year. Bullish momentum remains as steady as it has been this year, as have volumes traded in Hong Kong. Prepare for further rallies if it closes above 28,800 points at the end of the month.
Nicole Elliott is a technical analyst