Momentum Is Rebuilding: Here Are 3 HK Giants Leading the Charge

Executive Summary

Hong Kong’s market is starting to firm up again. After weeks of choppy price action, the Hang Seng Index has notched its longest winning streak, fuelled by rising expectations of a US rate cut at the upcoming Fed meeting.

In this month’s SDR update, three Hong Kong blue chips are featured: Ping An Insurance, PetroChina, and Bank of China. They have all flashed fresh bullish 1GT (Pro) signals. If momentum continues to rebuild into December, these three HK giants could be among the earliest beneficiaries of the improving macro tone, and the charts are already hinting that the turn may be underway.

All three are available on the SGX as SDRs, giving Singapore-based traders a simple and direct way to ride Hong Kong’s next potential move in SGD.

1) Ping An Insurance (2318.HK); Ping An Ins HK SDR 2to1 (HPAD)

Ping An Insurance (2318.HK) is one of China’s largest integrated financial groups, with core businesses spanning life and health insurance, property insurance, banking, asset management, and digital financial services. 

It remains a heavyweight in Hong Kong’s financial sector and a key proxy for China’s domestic consumption and financial stability.

After a brief pullback from the S$5.10 (HK$60.00) region, Ping An has once again came back down to test the S$4.93 (HK$58.00) level. This zone has historically acted as a resistance level during Aug to Nov, which is where the latest bullish 1GT (Pro) signal was triggered. 

The stock continues to trade above both the 100-day and 200-day moving averages, which are still sloping upward, confirming that the broader medium-term trend remains intact. 

The 20-day moving average has also started stabilising after the recent retracement, often a precursor to trend continuation.

Price is now sitting just below the S$4.93 (HK$58.00), a level that has capped multiple attempts over the past few months. 

A successful breakout above this zone could open the path toward the next major resistance at S$5.44 (HK$64.00).

Immediate support remains at S$4.42 (HK$52.00). As long as this support level holds, the structure remains constructive.

💡 So how does one take a position in Ping An Insurance from the HK SDR traded on the SGX?

To take a position via the Ping An Ins HK SDR 2to1 (Ticker: HPAD), which is listed on the SGX, note that it trades with a 2 SDR to 1 share ratio. 

Based on a 0.17 HKD-to-SGD exchange rate, the SDR is currently priced around S$4.70 - S$4.80.

A conservative approach would be to accumulate near S$4.42 (HK$52.00), which is the recent low.

Aggressive entry could be taken on a confirmed breakout above S$4.93 (HK$58.00), with S$5.44 (HK$64.00) as the next upside target and a stop below the S$4.93 (HK$58.00) level if it is not able to hold. 

2) PetrolChina Co Ltd (0857.HK), SMIC HK SDR 1to2 (HPCD)

PetroChina (0857.HK) is China’s largest oil and gas producer, with integrated operations across exploration, refining, chemicals, pipeline operations, and global energy services. 

It is widely seen as a key proxy for China’s energy demand recovery and remains one of the most actively traded State-Owned Enterprises (SOE) leaders on the Hong Kong Exchange.

After a strong rally over the past few months, PetroChina recently staged a pullback toward the S$2.96 (HK$8.70) area. This pullback brought price back toward the rising 20-day moving average.

The stock remains well above the 100-day and 200-day moving averages, both of which are sloping upward and confirming a solid medium-term bullish trend. 

5 consecutive bullish 1GT (Pro) signals since May are still playing out with no signs of exit yet.

The sequence of higher lows since May shows steady accumulation, with the energy sector continuing to be supported by improving oil fundamentals and mainland fund inflows.

A clean breakout above S$2.97 (HK$8.75) could open the path toward the next target around S$3.23 (HK$9.50).

Immediate support is at S$2.72 (HK$8.00), a level that previously acted as a breakout point, followed by stronger structural support near S$2.59 (HK$7.60).

💡 So how does one take a position in PetrolChina from the HK SDR traded on the SGX?

To take a position via the PetroChina HK SDR 1to2 (Ticker: HPCD) listed on the SGX, note that it trades with a 1 SDR to 2 underlying share ratio. 

Based on the 0.17 HKD-to-SGD exchange rate, the SDR is currently priced around S$2.90 - S$3.00, mirroring the underlying price structure.

A conservative approach would be to accumulate near S$2.72 (HK$8.00), where the previous breakout level aligns with support.

An aggressive entry could be taken on a confirmed breakout above S$2.97 (HK$8.75), with S$3.23 (HK$9.50) as the next upside target and a stop below the S$2.97 (HK$8.75) level if the breakout fails.

3) Bank of China Ltd (3988.HK); Bank of China HK SDR 1to1 (HBND)

Bank of China (3988.HK) is one of China’s oldest and most globally diversified commercial banks, with strong business lines across corporate banking, retail banking, treasury services, insurance, and international finance. 

As one of the key pillars among China’s major banks, it is often viewed as a stable proxy for China’s financial sector and mainland liquidity cycles.

The stock is now trading above the 20-day, 100-day, and 200-day moving averages, all of which are beginning to slope upward. 

This alignment typically reflects a strengthening medium-term trend, especially after an extended consolidation phase.

Price is currently hovering just below the S$0.82 (HK$4.80) resistance level, which has been tested multiple times since May. 

A successful breakout above this zone could open the path toward the next key resistance at S$0.88 (HK$5.20), a level that coincides with prior swing highs and a mapped measured move.

The most recent bullish 1GT (Pro) signal appeared near the S$0.75 (HK$4.40) region, a zone that aligns with support from the 200-day moving average. 

This suggests that buyers have regained control, with momentum gradually building.

Immediate support remains at S$0.75 (HK$4.40). As long as this support holds, the structure remains constructive with a potential continuation of the emerging uptrend.

💡 So how does one take a position in Bank of China from the HK SDR traded on the SGX?

You can take a position via the Bank of China HK SDR 1to1 (Ticker: HBND), which trades on the SGX with a 1 SDR to 1 share ratio. 

Using the 0.17 HKD-to-SGD exchange rate, the SDR is currently priced around S$0.78 - S$0.80, mirroring the underlying chart structure.

Conservative traders might prefer to wait for accumulation near the S$0.75 (HK$4.40) level, where the strong support and the recent 1GT (Pro) signal align. 

Aggressive traders could be taken on a confirmed breakout above S$0.82 (HK$4.80), while riding the momentum toward the next upside target of S$0.88 (HK$5.20) and a stop placed below the S$0.82 (HK$4.80) level if the breakout fails to hold.

 About the Author - Joey Choy

Joey is Singapore’s renowned mentor on how to make an income by trading the stock market, an author and one of the most-watched, quoted and followed stock trading trainers in Singapore. Over the years, he has conducted numerous full house seminars, enriching thousands to trade more profitably. 

Joey’s come back story from a S$740k debt has been featured in the Business Times and inspired thousands in Singapore. In less than 3 years, he is highly regarded as one of the Top Tier Remisiers (Stock Brokers) and Traders, bagging numerous yearly awards like Top Trading Representative and Top CFD Achiever every year from 2014 to 2023 in Phillip Securities.

More about Joey here

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