China shifts to loose monetary policy as Hang Seng Index breaks bullish trend
The Chinese Politburo has announced a shift to a "moderately loose" monetary policy for 2025, the first major change since 2011. Fiscal policy has also been upgraded to "more proactive," indicating stronger efforts to support the economy. Following this news, the Hang Seng Index broke above a downward trendline, signaling bullish momentum. Buyers are now targeting new cycle highs, while sellers are watching for a drop below the 19731 level. On shorter timeframes, the Hang Seng shows a minor upward trend. Buyers may look for a pullback to position for a rally towards 21342, while sellers are prepared for a potential drop to 18203.