HKEX(HK:00388) Ge Long Hui·2025-05-28 18:19Core Viewpoint - The Hong Kong stock market is experiencing volatility, with Hong Kong Exchanges and Clearing Limited (HKEX) trading at 390.6 HKD, down 1.91%. The stock is currently in a sideways movement above the midline on the daily chart, while the weekly chart shows a positive trend with seven consecutive weeks of gains, nearing the upper Bollinger Band at 400.65 HKD [1]. Technical Analysis - The current price of HKEX is at a critical divergence point, with multiple moving averages indicating a "strong buy" signal. However, the RSI has reached 77, indicating an overbought condition, and there is significant pressure at the upper Bollinger Band [1]. - Key support has shifted from resistance at 380 HKD to a strong support level, while the next target for bulls is the range of 406-415 HKD [1]. - Market participants are particularly focused on the 400 HKD level, with some considering short positions at this price point [2]. Derivative Products - In the options market, various call options are available, such as the Morgan Stanley call option (13652) with a leverage of 7.9 times and a strike price of 450.2 HKD, suitable for investors optimistic about breaking this price level. Another option, the Barclays call option (27807), offers 8.7 times leverage with a strike price of 450 HKD, noted for its cost-effectiveness [4]. - For bearish investors, Citigroup's put option (16606) provides 8.4 times leverage with a strike price of 333.9 HKD, while Morgan Stanley's put option (16907) offers 8.2 times leverage with a strike price of 333.68 HKD [4]. Market Sentiment - The market sentiment remains bullish, with investors closely monitoring the performance of HKEX as it approaches the 400 HKD resistance level. The trading strategies often involve gradually exiting positions as the stock price rises or deploying derivatives when reaching significant price points [2]. - Notably, when HKEX shares rose by 1.76%, related bullish derivative products performed exceptionally well, with notable increases of 36% for the Societe Generale bull certificate (54739) and 31% for the UBS bull certificate (54530) [2].