Hsi futures a breakout above 17

A breakout above 17,850 in HSI futures could invite more momentum traders into the market, setting sights on the psychological 18,000 mark. Chartists note a bullish flag pattern forming on the daily charts. As a Mexican-American citizen and first-generation college student, I know firsthand how vital this support is. I am a student at YVC working toward my associate’s degree in economics and see education as the social equalizer/economic mobility for our families and communities in the Valley. Please refer to my bold prediction last year. Since then, it has risen about 14% thus far, still relatively a long way towards 30,000 mark. Recently, on 16th May, Mixue Group, one of the largest bubble tea chained stores in China has been incorporated into the HSI components. I believe down the road, we will witness more of such high growth companies being added and thus uplift the HSI further towards my goal of 30,000. Of course, one needs to be patient and can't expect the chart to move in a linear fashion but one with ups and downs. Some good news to share - The US court has blocked Trump's tariffs for causing too much business inconvenience and losses. We will see how it turns out in 10 days time. If the law is passed, we could see further upside for the HK and China market as China is one of the worst victim in this tariff wars. Also, with the US dollars being sold out, bonds yield spiking up near 5% and Fed's reluctance to lower interest rates, tariffs negotiations going nowhere, where would investors be shifting their funds to? Japan, China, Singapore and even Europe would be some of the beneficiaries. On a valuation term, China/Hong Kong remains one of the cheapest country to invest in. Plus, all the negative news that one could think of are all factored in - depressed housing market, unemployment, deflationary environment, tariffs war with US, etc. The government continues to unleash stimulus to help prop up the market, maybe not as big as some analysts expect but their action points to the right path. If US decides to pull out the China listed companies in US, then we can see more funds being channeled into the HSI as these companies will list their companies in Hong Kong. I am vested in HK/China for a long while so my views are biased , so please DYODD After a mild dip yesterday, HSI futures rebounded to 17,740, tracking regional tech share strength. Investors are monitoring U.S. inflation data for cues on global liquidity trends affecting emerging Asian markets.