Last weekend the Hong Kong stock markets ended higher, following gains in the Chinese stock market. Policy tightening seems to look soft where the property sector and banks such as HSBC led the rise today.

Hang Seng Index rose 202 points, or 0.9 percent to 23.276. After the session one could fall in the range of 22.880. Volume totaled HK $ 64.9 billion, down slightly from HK $ 67.2 billion yesterday. Accumulation index has risen 0.5 percent.

Shanghai Composite Index closed down 1.0 to 2871.03 negative. Investors ignored the rise of China Statutory minimum 50 basis points as the latest tightening measures in line with expectations. The local market may not rebound in the very near future. Banking giant HSBC rose 1.5% to HK $ 83.05 while China Mobile rose 0.3% to HK $ 70.85.

Possible Hang Seng today will move down today due to a negative Wall Street closed overnight. Movement after the opening is expected to bearish. Psychological level of 23,000 was observed to still survive. Stochastic is oversold technically could be a factor supporting a limited increase in the index today. If it fails to stay above 23,000 level it will be bearish or vice versa. RRR increase has little impact after the Beijing statement that would limit interest rate hikes this year and try to find other ways to control inflation. Diperkirkan Hang Seng will move between levels of 23000-23200. (PBUH).