The Hang Seng Index Futures (HSIF) jumped above its 50-day SMA line yesterday, closing stronger at 20,650 points and positioning itself for a potential breakout above the 21,250-point resistance according to a report by RHB Investment Bank Bhd.

The index opened Monday's session at 19,934 points, climbing steadily to hit an intraday high of 20,687 points before closing at 20,650 points. During the evening session, the index added another 709 points, last trading at 21,359 points. However, as the evening session remains ongoing, the 21,250-point resistance level is still considered intact.

A close above this immediate resistance would confirm a bullish setup, with the RSI pointing upwards and indicating potential follow-through of positive price action in upcoming sessions. Currently, trading above the 50-day SMA line gives bulls the upper hand, though the negative trading bias will be maintained until the index closes above the stop-loss level.

Traders are advised to retain short positions initiated on Oct 9 at 20,628 points. The stop-loss threshold is set at 21,250 points to manage trading risks.

The revised first support is set at 20,000 points, followed by 19,000 points. On the upside, the initial resistance is at 21,250 points, with the higher resistance pegged at 23,000 points.