New call warrants tracking underperformers Meituan and HSI
🆕There are new call warrants available over Meituan and the Hang Seng Index (HSI) from this morning
Both are underperforming names
🐌The $HSI(HSI)$ which is flat year-to-date (YTD), lags the performance of other developed markets such as the Nikkei225 (+29.2% YTD), Straits Times Index (+9.1% YTD) as well as the S&P500 (+9.2% YTD)
Technically, the HSI is currently trading below its 20-day and 50-day moving averages
According to Bloomberg AskB, the near-term bias for HSI remains cautious and requires a catalyst to reclaim the MA cluster around 26,025–26,056
The potential Huawei chip breakthrough could provide a near-term lift to the index, with a sustained break above 26,600 would be the first constructive signal for a renewed recovery leg
$MEITUAN-W(03690)$ , an index constituent on the HSI, is one of the main drags on the index following a 21.3% YTD loss and current sits as 10th worst performing index stock
The stock dropped below the HKD 100 range from 19 January to trade below HKD 80 in early March, before staging a recovery to the HKD 80–90 range through April and into May
🆕The stock is currently trading 5% lower to HKD 77.35 as of 945AM this morning
Amongst the recent company developments, Meituan reportedly proposed an acquisition of South Korean food delivery platform Baedal Minjok, according to Korean news agency Chosun Ilbo on 22 May
👀See how the newly listed call warrants move alongside their respective underlyings:
✳Meituan call $Meituan MB eCW261103(TWWW.SI)$: https://warrants.com.sg/tools/livematrix/TWWW
✳HSI call $HSI 28400MBeCW260730(9BBW.SI)$ : https://warrants.com.sg/tools/livematrix/9BBW
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
