Simple13 Trading Idea

I foresee the Hang Seng Index (HSI) showing short-term upside potential. As a result, I am expanding my watchlist to include HSI stocks, and one stock that has caught my attention is Lenovo.

📊 Why Lenovo?

1️⃣ Technical Setup:
– The 10 EMA recently crossed above the 20 EMA, signaling the start of an uptrend.
– The stock is currently pulling back, finding support at the 10 EMA and aligning with the Fibonacci 0.5 retracement level, making it a favorable entry point.

2️⃣ Fundamental Criteria:
– Positive PE: Lenovo meets my requirement for having a positive price-to-earnings ratio, which is not excessively high.
– Good ROE: Ensures the company generates efficient returns for shareholders.

📈 Trading Plan:
– Entry Price: Current price at HKD 9.83
– Target Price: HKD 11.5
– Stop Loss: HKD 9.45
This setup offers a solid risk-to-reward ratio and aligns with my criteria for both technical and fundamental strength.

What’s your take? Is Lenovo on your radar, or do you have other HSI stocks to recommend? Let’s discuss! 💬📊

Disclaimer: This is not financial advice. Conduct your own research before making investment decisions.

992