To The Moon

• Xiaomi recently launched its second EV, the YU7 electric SUV, expanding its presence in the automotive space.

• The company is scheduled to report Q1 2025 earnings on May 27, 7:30 PM HKT.

• Analysts are watching for updates on EV sales, AI growth, and IoT performance, which may impact stock sentiment.

Xiaomi Chart Analysis:

• Uptrend intact: The broader trend remains upward, as indicated by the long-term price rise from mid-2024 to present.

• Short-term consolidation: Price is currently moving within a rising channel, showing a consolidation pattern after the recent rally.

• Key Support: The immediate support level is around HK$50.50, marked clearly on the chart. This is a crucial level to watch in the short term, especially ahead of earnings.

• RSI Indicator: RSI has turned lower, showing some loss of momentum, though still not in oversold territory.

• Implication: A breakdown below HK$50.50 could lead to further short-term weakness. If the level holds, price may resume upward within the channel.

Using Daily Leverage Certificates (DLCs) for Xiaomi

• DLCs offer leveraged exposure to the daily price movement of Xiaomi shares.

• Long DLCs (e.g. $Xiaomi 5xLongSG251113(DKRW.SI)$ ) :

  Typically rise when Xiaomi’s share price increases.

  May benefit if price holds HK$50.50 and rebounds.

• Short DLCs (e.g. $Xiaomi 3xShortSG271125(LQEW.SI)$ ) :

  Typically rise when Xiaomi’s share price declines.

  May be sensitive to a potential break below the HK$50.50 support zone.

• Important Considerations:

  Leverage resets daily – DLCs are designed for short-term trading, not for holding over multiple days.

  Price gaps and volatility around earnings may lead to larger intraday movements in DLC prices.

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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.