Hong Kong EV Stocks Surge: Why Geely?

Today's top gainer on Soc Gen DLC https://dlc.socgen.com/en/home website is $GEELY AUTO(00175)$ . What’s so interesting about this stock as it is up 7% today?

Analysis of the bigger picture

Bullish Moving Average Cross: On the higher timeframes, the 21-day SMA has crossed above the 55-day SMA, a positive signal that suggests momentum is shifting in favour of the bulls.

Analysis of current price movement: Few observations

• Strong Uptrend in Place: The stock has been making higher lows, indicating a steady upward trend with buyers stepping in at higher prices over time.

• Key Resistance Broken: The stock struggled multiple times around the 15.40-15.50 range but has now broken above this level, signaling potential strength.

• Breakout with Increased Volume: The breakout is supported by a rise in trading volume, showing strong participation from buyers. This is a positive confirmation of the move.

• Rising Price Channel: The stock is moving within an upward-sloping channel, meaning it continues to climb while experiencing periodic pullbacks.

• Momentum Strengthening: The lower part of the chart shows momentum indicator MACD turning up, aligning with the price breakout.

Conclusion:

The stock is showing strong bullish signals across multiple timeframes. The bullish moving average cross, breakout above resistance, and rising volume all support further upside potential. The breakout should hold above $15.40 will be key in the coming sessions.

Short-term trading with DLCs

$Geely 5xLongSG251113(DRRW.SI)$ is the top gainer today. It is a 5x leveraged product tied to Geely stock, closely follows the stock's price movements but with amplified changes. When Geely stock goes up or down, DRRW moves in the same direction but by a larger percentage, reflecting its leveraged nature.

For instance, if Geely stock increases by 1%, DRRW might increase by about 5%. This relationship is evident in the recent upward trend of both lines, with DRRW showing sharper gains.

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For more information about DLCs, visit https://dlc.socgen.com/en/education/handbook 

Disclaimer: 

This document is not an offer or solicitation to buy or sell, nor financial advice or recommendation for any investment product. This document has been published for general circulation only. 

This advertisement has not been reviewed by the Monetary Authority of Singapore. This post is sponsored by Societe Generale, Singapore Branch. The content of this article does not form part of any offer or invitation to buy or sell any daily leverage certificates (the “DLCs”), and nothing herein should be considered as financial advice or recommendation. The price may rise and fall in value rapidly and holders may lose all of their investment. Any past performance is not indicative of future performance. Investments in DLCs carry significant risks, please see dlc.socgen.com for further information and relevant risks. The DLCs are for specified investment products (SIP) qualified investors only.