USDX
97.950

0.38%

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4299.39

0.47%

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57.233

0.71%

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1.33707

0.11%

USDJPY
155.814

0.16%

USNDAQ100
25232.75

2.41%

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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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      Will The PMI Data in Australia and Canada Give Strength to The Major Downtrend

      Forex
      Summary:

      The AUD/CAD pair, forecasting a weaker Australian dollar and a stronger Canadian dollar based on upcoming economic data and technical indicators indicating a downtrend formation.

      Sell AUDCAD
      End Time
      CLOSED

      0.88402

      ENTRY

      0.87586

      TGT

      0.88778

      SL

      0.91596 -0.00156 -0.17%

      376

      Points

      Loss

      0.87586

      TGT

      0.88779

      CLOSING

      0.88402

      ENTRY

      0.88778

      SL

      Let's delve into the dynamics shaping the Australian dollar (AUD) against the Canadian dollar (CAD) pair.

      Fundamental Analysis

      Tomorrow's release of the manufacturing Purchasing Managers' Index (PMI) in Australia is pivotal. With market expectations anticipating a decline from 47.8 to 46.8, a lower figure could exert downward pressure on the AUD. Conversely, in Canada, the forthcoming services PMI data is anticipated to rise from 46.6 to 47.2. If this prediction materializes, it could bolster the CAD. Hence, a comparative analysis suggests a potential weakening of the AUD against the strengthening CAD.Will The PMI Data in Australia and Canada Give Strength to The Major Downtrend_1

      Australia Judo Bank Manufacturing PMIWill The PMI Data in Australia and Canada Give Strength to The Major Downtrend_2

      Canada S&P Global Services PMI

      Technical Analysis

      Zooming into the 4-hour chart, the current price stands at 0.88037. A retracement towards the previous supply zone at 0.88500 is expected. Subsequently, a downward movement towards the oldest demand zone at 0.87500 may occur, indicative of a downtrend formation characterized by lower highs and lower lows. Additionally, the 20-period moving average is descending, further supporting the bearish sentiment.

      Conclusion

      Combining fundamental insights with technical indicators, the outlook for the AUD/CAD pair leans towards a bearish trajectory. Anticipated data releases in Australia and Canada are poised to influence market sentiment, potentially leading to a weaker Australian dollar and a stronger Canadian dollar. Technical analysis reinforces this outlook, suggesting a downtrend formation. Traders are advised to closely monitor economic indicators and chart patterns for strategic entry and exit points.Will The PMI Data in Australia and Canada Give Strength to The Major Downtrend_3

      AUDCAD Price chart

      Trading Recommendation 

      Trading Direction: Short
      Entry Price: 0.88402
      Target Price: 0.87586
      Stop Loss: 0.88778
      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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      Saif

      Analysts

      BeingTrader Trading Coach & Speaker, 10+ years of experience in the forex industry being an intraday and day trader. My major trading strategies are based on technical analysis, and I mainly use trends, support/resistance, moving averages, and market entry and exit point strategy, risk management and trading plan.

      Rank

      --

      Articless

      143

      Win Rate

      0.00%

      P/L Ratio

      1.20

      Focus on

      AUDNZD, GBPUSD, USDJPY

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