At the current stange of market relations, one can easily define the spots of the biggest economic and financial growth. Apparently, stock exchanges are on the list.On the one hand, the constant turnover of financial assets is a good thing, so is the opportunity to buy or salle a stock without major effort. On the other hand, internatinal experts have been signaling potential threats for quite a long time. At Masterforex-V Academy, they think that the major provoker in the financial world is Hong Kong Stock Exchange (SEHK). By the way, this is the world's 6th biggest stock exchange in terms of market capitalization. Apparently, this kind of significance in the financial world is the key reason for those potential threats.
The experts Bloomberg and Masterforex-V evaluated the situation and came to the same conclusion. In particular, they assume that it's SEHK that has become the home to most of those paper multi-millionaires and billionaires. Through the stocks of excessively promoted bubble projects, the favorable conditions for promoting a bull market are created, which is then followed by a market crash when those bubble burst.
It's interesting to note that such processes are reflected in the charts of several popular indexes that belong to Hong Kong Stock Exchange. Some experts even put the blame for the crises of 1987 and 1998 on the exchange. Also, they say the echange is related to several failed attempts to trigger market crashes over the alst few years. All of those cases have one thing in common - there were no fundamental reasons for those crashes back then.
Also, according to Masterforex-V Academy experts, market players should take into account the specifics of Hong Kong Exchange. Keeping that in mind, they can use, for example, Hang Seng Index as a market signal, especially if compared against Dow Jones-30 and S&P 500. It's interesting to note that those indexes run synchronously. Often times, the Hong Kong index signals about the end of the momentum beforehand, so it can be used as some kind of a leading indicator. Hang Seng Index is located around 29605.01 and keeps on moving against the bull marekt seen since November 2018.
