The following article is from: Hong Kong Soros (pseudonym).

Edited by: Well Link International Securities.

Market Overview

Technical: SPX and other major indices showed weakness ahead of US election after an extended rally for almost 2 months. 

Sentiment:Market sentiment turned to fear

Market Breadth:Market breadth stays in neutral.

Macro:

More than 2/3 of companies released their recent earnings and showed strong earning trend in both margins and growth. 

A slow rate cut trend is expected and historically, a slow rate cut is bullish for risky assets. Despite coming election uncertainty, 

a buy on dip is a more favourable strategy as no deteriorate signs on current structural bull market. 

Stocks :

FXI & KWEB – China market finding support in recent levels, given supports from China government, a good risk reward trading opportunity at current level.