Morning Trend | Xinyi Glass tests support, is the downside space gradually opening up?
On January 21, XINYI GLASS (868.HK) maintained a low-level oscillation throughout the day, frequently testing the lower Bollinger Band during the session, with weak buying interest and continuous net capital outflow. Technically, the MACD death cross and the bearish arrangement of moving averages jointly reinforced the downward pressure, with 8.22 yuan becoming a phase support level, but the actual buying power was weak. In terms of the industry, the slow recovery of the real estate chain has dragged down the popularity of related building materials, coupled with the recent high prices of glass raw materials, putting pressure on corporate profit expectations. The overall performance of cyclical stocks in the Hong Kong stock market has been sluggish, with institutions and quantitative funds actively choosing to reduce their holdings, further weakening the market's bullish foundation. From the market feedback, if the phase support is breached, it could easily trigger concentrated selling pressure, and weak rebounds may be suppressed by bearish sentiment. The sector's news is difficult to boost, and there is insufficient momentum for short-term action. Generally speaking, such a downward trend, once accompanied by increased volume, often indicates the opening of a new round of downward space. In terms of operational strategy, right-side users are advised to focus on defending short-term risks, continuously tracking trading volume and policy-driven events. In the current situation, bulls need to wait for a recovery in the industrial sector or for companies to secure new large orders for favorable outcomes to stabilize the downtrend. If the short-term rebound cannot be sustained with volume, participation will be challenging, and a relatively prudent strategy is to remain on the sidelines, waiting for clearer event-driven signals before making decisions
Technical Forecast·
