Hang Seng Edges Up, Alibaba Acts as Key Support
The Hang Seng Index traded relatively flat on Tuesday (August 18), hovering around the 25,471.15 level. The Hong Kong market has yet to establish a clear direction, as gains in several major stocks are being offset by selling pressure on the majority of the index's constituents.
Alibaba was the largest contributor to the Hang Seng's gains, with its share price rising approximately 3.7%. Wuxi Biologics recorded the biggest gain, surging about 5.2% and helping to keep the index in positive territory.
Despite the slight rise in the index, market breadth remains weak. Of the 93 stocks comprising the Hang Seng, 41 advanced while 50 declined, indicating that selling pressure remains widespread.
Three of the four major sectors posted gains, led by the trading and industrial sectors. However, because the gains were concentrated in a few large-cap stocks, the overall rise of the index remained limited.
Newsmaker Analysis: The Hang Seng remains in a consolidation phase, as the rally in Alibaba shares has not yet been matched by broad-based buying. As long as the index holds the 25,400–25,500 range, the potential for a rebound remains. However, if selling pressure intensifies, the psychological level of 25,000 could once again become a critical support level. (asd)
Source: Newsmaker.id
