USDX
98.960

0.18%

XAUUSD
4207.21

0.12%

WTI
59.461

1.13%

EURUSD
1.16471

0.19%

GBPUSD
1.33340

0.11%

USDJPY
155.031

0.12%

USNDAQ100
25575.05

0.25%

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Risk Warning on Trading HK Stocks

Despite Hong Kong's robust legal and regulatory framework, its stock market still faces unique risks and challenges, such as currency fluctuations due to the Hong Kong dollar's peg to the US dollar and the impact of mainland China's policy changes and economic conditions on Hong Kong stocks.

HK Stock Trading Fees and Taxation

Trading costs in the Hong Kong stock market include transaction fees, stamp duty, settlement charges, and currency conversion fees for foreign investors. Additionally, taxes may apply based on local regulations.

HK Non-Essential Consumer Goods Industry

The Hong Kong stock market encompasses non-essential consumption sectors like automotive, education, tourism, catering, and apparel. Of the 643 listed companies, 35% are mainland Chinese, making up 65% of the total market capitalization. Thus, it's heavily influenced by the Chinese economy.

HK Real Estate Industry

In recent years, the real estate and construction sector's share in the Hong Kong stock index has notably decreased. Nevertheless, as of 2022, it retains around 10% market share, covering real estate development, construction engineering, investment, and property management.

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      Market Is Choosing Direction, Watch for Key Levels to Break

      Commodity
      Summary:

      The direction of asset allocation may be shifting, posing challenges to gold's upward momentum.

      Buy XAUUSD
      EXP
      Trading

      4216.39

      ENTRY

      4346.00

      TGT

      4170.00

      SL

      4207.19 +5.11 +0.12%

      0

      Point

      Flat

      4170.00

      SL

      CLOSING

      4216.39

      ENTRY

      4346.00

      TGT

      Fundamentals

      In today's trading, gold prices fell to US$4,194, down 0.59%, retreating from recent highs.
      Gold's upward momentum may face challenges if market sentiment improves next year and asset allocation shifts back toward risk assets.
      Although current gold futures positions exceed long-term averages, they remain well below this year's peak levels, potentially signaling a cooling of market optimism following the strong rally at the beginning of the year. However, with inflation persisting despite the ongoing rate-cutting cycle, investors may still increase their allocation to gold.
      Central banks' demand for gold is more structural in nature, as the U.S. fiscal deficit has been expanding and emerging market central banks hold relatively low proportions of gold in their foreign exchange reserves.
      Market Is Choosing Direction, Watch for Key Levels to Break_1

      Technical Analysis

      During Wednesday's European session, gold prices hovered near the lower end of their range. Despite mixed market sentiment, prices held above yesterday's low of US$4,163. Overall strength in equity markets was seen as a key factor weighing on the precious metal.
      The current intraday high of US$4,230 has become a direct resistance level for bullish momentum. A break above this level would signal an early indication of further upward movement. The next resistance level stands at US$4,246; a breach of this threshold would mark the continuation of last week's rally and target the sell-off level at US$4,346.
      On the other hand, should gold prices break below the US$4,182 threshold, the downward trend may continue. If yesterday's low of US$4,163 is breached, prices could test the US$4,100 level before ultimately falling to the converging support zone at US$4,075-US$4,073. This support area is formed by the 200 SMA in the 4H timeframe and the upward trendline established since late October.

      Trading Recommendations

      Trading Direction: Buy
      Entry Price: 4205
      Target Price: 4346
      Stop Loss: 4170
      Valid Until: December 20, 2025 23:55:00
      Support: 4180, 4165, 4154
      Resistance: 4220, 4228, 4239
      Risk Warnings and Investment Disclaimers
      You understand and acknowledge that there is a high degree of risk involved in trading with strategies. Following any strategies or investment methodologies is the potential for loss. The content on the site is being provided by our contributors and analysts for information purposes only. You alone are solely responsible for determining whether any trading assets, or securities, or strategy, or any other product is suitable for you based on your investment objectives and financial situation.

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      Eva Chen

      Analysts

      Master of Economics, 8 years in the financial industry, CFA holder, joined HSBC (Hong Kong) Bank in 2013 after graduating from the University of California, USA in the Investment Research and Markets Department. With years of financial market experience and trading experience, having provided excellent investment advice to many brokerages, entity derivatives importers and clients in Greater China.

      Rank

      5

      Articless

      2107

      Win Rate

      58.58%

      P/L Ratio

      0.63

      Focus on

      XAUUSD, WTI, GBPUSD

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