USDX
100.550

0.41%

XAUUSD
4231.23

0.59%

WTI
74.447

0.63%

EURUSD
1.14629

0.32%

GBPUSD
1.32102

0.59%

USDJPY
161.425

0.48%

USNDAQ100
30449.92

1.92%

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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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      The Shoe Drops! Will USD/JPY Turn Downward?

      Summary:

      The Bank of Japan raised interest rates on Tuesday to their highest level since 1995 and announced plans to gradually reduce its government bond purchases; these factors combined to bolster the yen.

      Buy USDJPY
      End Time
      CLOSED

      160.209

      ENTRY

      163.000

      TGT

      158.000

      SL

      161.425 +0.775 +0.48%

      597

      Points

      Profit

      158.000

      SL

      160.806

      CLOSING

      160.209

      ENTRY

      163.000

      TGT

      Fundamentals
      On Tuesday, the Bank of Japan announced it was raising its short-term policy rate from 0.75% to 1%. This marks the first rate hike since last December and brings Japan’s borrowing costs to their highest level since 1995. The decision was approved by a 7-to-1 vote, with the sole dissenting vote coming from Toichiro Asada, a dovish member of the Policy Board nominated by Prime Minister Sanae Takaichi. The market had widely anticipated this rate hike, so the overall reaction was relatively subdued. The Bank of Japan stated that although economic risks related to the situation in the Middle East have eased somewhat compared to earlier, rising energy prices caused by the war in Iran continue to fuel domestic inflationary pressures. There is a risk that core inflation could exceed the 2% price stability target, making it necessary to further advance policy normalization. The central bank noted that medium- to long-term inflation expectations continue to rise, and noticeable changes in corporate pricing behavior make the upside risks to core inflation even more cause for concern.
      Although the market widely expects the Federal Reserve to keep the federal funds rate target range unchanged at 3.50% to 3.75% at this week’s meeting, the focus of discussions among policymakers has shifted significantly. Compared to three months ago, the Fed’s latest “dot plot” is expected to show a more hawkish bias. Recent stronger-than-expected job growth, coupled with inflationary pressures from rising energy prices driven by the war in Iran, has shifted the focus of the Federal Open Market Committee’s discussions from “whether to cut rates” to “whether further rate hikes are needed.”
      Technical Analysis
      On the daily chart, the USD/JPY pair shows narrowing Bollinger Bands and flat moving averages, indicating a potential reversal at any time. It is highly likely to rise to near the previous high at 160.8. The RSI stands at 57, suggesting that market participants are predominantly buying. On the 4-hour chart, the Bollinger Bands are narrowing, moving averages are flat, and the MACD fast and slow lines are trading above the 0 line, indicating that the bullish trend remains intact. The RSI stands at 45, indicating that the market is in a bearish mood. The recommended strategy is to buy on dips.
      The Shoe Drops! Will USD/JPY Turn Downward?_1
      The Shoe Drops! Will USD/JPY Turn Downward?_2
      Trading Recommendation
      Trading Direction: Buy
      Entry Price: 160.1
      Target Price: 163
      Stop-Loss Price: 158
      Support Levels: 158, 157, 155
      Resistance Levels: 161, 162, 163
      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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      Tank

      Analysts

      20 years of trading experience, specializing in naked price action analysis, Elliott Wave Theory, and Chan Theory. Has conducted in-depth research on forex, stocks, and cryptocurrencies. Achieved a tenfold profit during the 2005 bull market and doubled profits within one month of entering the crypto market in 2015. Adheres to the trading philosophy: "Trend is king; focus on the big picture, act on

      Rank

      1

      Articless

      789

      Win Rate

      74.35%

      P/L Ratio

      0.67

      Focus on

      GBPUSD, XAUUSD

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      The Shoe Drops! Will USD/JPY Turn Downward?

      PROFIT +613 Points
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