U.S. Stocks 

Fundamental Analysis: 

The U.S. stocks, which had previously fallen for seven consecutive weeks, continued to rebound, and the month-end position adjustments of institutional investors may have boosted the stock market.

Last Friday, 27th May 2022, the S&P 500 Index rose by 2.5%, its biggest gain since May 4, recovering lost ground in May. In the whole week, it was up by 6.6%, its biggest one-week gain since November 2020. Meanwhile, the Nasdaq 100 Index rose by 3.3%, up more than 7% for the week.

The U.S. consumer confidence deteriorated further to a 10-year low at the end of May, as mounting inflation concerns dimmed the economic outlook.

Another report showed that U.S. inflation-adjusted consumer spending rose the most in three months in April, indicating that the U.S. public kept spending firm by reducing savings in the face of continued price pressures.

The Bank of America report, citing EPFR data, said global equity funds made the largest inflows in 10 weeks, led by U.S. equity funds due to fears that hawkish central banks will push the economy into recession.

The market has been very volatile so far this year, and the market remains divided on whether the stock market has bottomed out.

Technical Analysis: 

(Dow 30, 1-hour chart) 

Execution Insight: 

The Dow focuses on the 33233-line today. If the Dow runs stably above the 33233-line, it will pay attention to the suppression strength of the 33584 and 34088 positions. If the Dow falls below the 33233-line, it will pay attention to the support strength of the 32781 and 32455 positions.

Hong Kong Stocks 

Fundamental Analysis: 

The Hang Seng Index (HSI) rose 1.87% to 21,084.54 points, the Hang Seng China Enterprises Index (HSCEI) rose 2.22%, and the Hang Seng China Affiliated Corp Index (HSCCI) rose 0.99%.

During this interval, the Hang Seng TECH Index (HSTECH) rose 3.12%, with Bilibili Inc. (9626.HK) rose by 8.45%, Meituan (3690.HK) rose 7.32%, and JD.com, Inc. (9618.HK) rose 4.7%.

 F&B industry stocks fell, Jiumaojiu International Holdings Limited (9922.HK) rose 9.35%, Haidilao International Holding Ltd. (6862.HK) gained 7.92%, and China Resources Beer (Holdings) Company Limited (0291.HK) rose 7.33%. 

Sporting goods stocks rose, with Li Ning Company Limited (2331.HK) up by 9.02%, Xtep International Holdings Limited (1368.HK) up by 6.55%, and ANTA Sports Products Limited (2020.HK) up 4.27%. 

Wing Fung Group Asia Limited (8526.HK) share price crashed 62.94%. Wing Fung Group Asia released its 2022 quarterly report, saying that in the first quarter of 2022, the first loss was HK$1.431 million, and the profit in the same period last year was HK$2.491 million, turning from profit to loss. The total operating income was HK$49.425 million, an increase of 1.0% year-on-year.

Technical Analysis: 

(HK50, 1-hour chart) 

Execution Insight: 

HK50 focuses on the 20467-line today. If HK50 can run stably above the 20467-line, then pay attention to the suppression strength of 21450 and 22127. If HK50 runs below the 20467-line, then pay attention to the support strength of 19517 and 18606.

FTSE China A50 Index 

Technical Analysis: 

(FTSE China A50, 1-hour chart) 

Execution Insight: 

FTSE China A50 pays attention to the 13157-line today. If the A50 runs steadily below the 13157-line, pay attention to the support strength of the two positions of 12945 and 12733. If the A50 runs above the 13157-line, it will open up further upward space. At that time, pay attention to the two positions of 13544 and 13970.

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