Although the Hang Seng Tech Index’s smoothed RSI is near the top end of its range, the index itself is still way below its all-time high of 10,945, attained in February 2021. Nonetheless, the speed at which the rally in the index and HSTECH has taken place is breathtaking. Accelerated rises are unlikely to be sustained and a retreat for both index and ETF is overdue.
Both investors and traders continue to focus on North Asia, in particular the Chinese tech stocks listed in Hong Kong.
The Hang Seng Tech Index closed at a three-year high of 5,526 and the locally-listed Lion-OCBC Securities HSTECH ETF (HSTECH), which ended the week of Feb 10-14 at 92.3 cents, is at the highest level in more than a year.
