Morning Trend | Shenwan Hongyuan switches to a fluctuating range, can the brokerage sector welcome a quiet rebound?
Shenwan Hongyuan experienced a periodic volume contraction adjustment yesterday, continuing the overall weak atmosphere. The brokerage sector was affected by the sluggish market sentiment and insufficient confidence in investment banking, leading to weak momentum for incremental funds, which put pressure on stock prices. During the session, the support at HKD 3.51 was still holding, but if it breaks, a new round of adjustments may begin, and most investors still choose to wait and see for signals. The latest quarterly reports from leading brokerages continue to attract market attention, with significant fluctuations in investment income becoming a focal point both inside and outside the market, raising concerns among some investors about performance declines. Technically, the MACD daily chart shows no obvious signs of stabilization, with the main forces yet to gather, resulting in a loss of directional sense in the sector. Funds are concentrated in defensive positions, and the market is generally watching for policy stimuli and industry turning points. In the short term, attention should be paid to unusual movements of leading brokerages and marginal improvements in policies. Any sudden positive news could break the range-bound fluctuations, but if the market remains weak, the weakness will continue. It is recommended to closely monitor the direction of funds in the market, overall market sentiment, and the trading activity at key levels to enhance operational flexibility and guard against withdrawal risks
Shenwan Hongyuan experienced a periodic volume contraction adjustment yesterday, continuing the overall weak atmosphere. The brokerage sector was affected by the sluggish market sentiment and insufficient confidence in investment banking business, leading to weak incremental capital momentum and putting pressure on stock prices. During the session, the support at HKD 3.51 was still holding, but if it breaks, a new round of adjustment may begin, and most investors are still choosing to wait and see for signals.
The latest quarterly reports from leading brokerages continue to attract market attention, with significant fluctuations in investment income becoming a focal point both inside and outside the market. Some investors are concerned about the performance decline. On the technical side, the MACD daily chart shows no obvious signs of stabilization, and the main forces have not yet gathered, resulting in a loss of directional sense in the sector. Funds are concentrated in defensive positions, and the market is generally watching for policy stimulus and industry turning points.
In the short term, attention should be paid to unusual movements of leading brokerages and marginal improvements in policies. Any sudden positive news could break the range-bound fluctuations, but if the market remains weak, the weakness will continue. It is recommended to closely monitor the direction of on-site funds, market sentiment, and the trading activity at key levels to enhance operational flexibility and guard against withdrawal risks
