Korea / Special Sits, Pairs, Index Rebalancing, Clepsydra Capital

Sanghyun Park

Korea / Special Sits, Pairs, Index Rebalancing

Clepsydra Capital

Investigate special situations, pairs, and index rebalancing trades in Korea.

Event-Driven

Korea Stock Exchange KOSPI 200 / Event-Driven

<ul>
<li>Today's reveal includes two main parts: first, setting up internal balance management for investors; second, building the detection system to block naked short-selling.</li>
<li>FSC and FSS haven't provided a set date for system completion but suggest it may start late this year or early next year. Uncertainty remains on overseas investor participation.</li>
<li>A decision on short selling is due in June, but no confirmation was given today. However, the local market anticipates short selling resuming before this system is fully operational.</li>
</ul>


Today's reveal includes two main parts: first, setting up internal balance management for investors; second, building the detection system to block naked short-selling.
FSC and FSS haven't provided a set date for system completion but suggest it may start late this year or early next year. Uncertainty remains on overseas investor participation.
A decision on short selling is due in June, but no confirmation was given today. However, the local market anticipates short selling resuming before this system is fully operational.


Today, Korean Regulators Unveiled an Electronic System Aimed at Blocking Naked Short-Selling

Quantitative Researcher, MRM Research

Nico Rosti

Quantitative Researcher

MRM Research

Quantitative Research

<ul>
<li>The <a href="https://www.smartkarma.com/entities/korea-stock-exchange-kospi-200" target="_blank" data-smartkarma-citation="entities:26021:1" rel="noopener">KOSPI 200 INDEX</a> has closed down for 3 consecutive weeks (CC=-3), it is WEEKLY oversold.</li>
<li>If the index rallies this week, it could reach &gt;362 (Q2 resistance) and that could be enough to end the bounce.</li>
<li>Our hypothesis is that the index will pull back again, after the bounce, next week (if this week ends with a positive WEEKLY close).</li>
</ul>


The KOSPI 200 INDEX has closed down for 3 consecutive weeks (CC=-3), it is WEEKLY oversold.
If the index rallies this week, it could reach &gt;362 (Q2 resistance) and that could be enough to end the bounce.
Our hypothesis is that the index will pull back again, after the bounce, next week (if this week ends with a positive WEEKLY close).


EQD | KOSPI 200 WEEKLY Bounce: Rally or Not?

<ul>
<li>The <a href="https://www.smartkarma.com/entities/korea-stock-exchange-kospi-200" target="_blank" data-smartkarma-citation="entities:26021:1" rel="noopener">KOSPI 200 INDEX</a> is currently pulling back for a 2nd week in a row.</li>
<li>This could be an opportunity to go LONG,  if the pullback is limited to this (or at most the next) week closing down and reaching targets between 365 and 338.</li>
<li>If the index goes down for 3 weeks and reached below 343 caution is advised: the pullback may be larger than expected in that case.</li>
</ul>


The KOSPI 200 INDEX is currently pulling back for a 2nd week in a row.
This could be an opportunity to go LONG,  if the pullback is limited to this (or at most the next) week closing down and reaching targets between 365 and 338.
If the index goes down for 3 weeks and reached below 343 caution is advised: the pullback may be larger than expected in that case.


EQD | KOSPI 200 WEEKLY Buy-The-Dip Opportunity

<ul>
<li>The <a href="https://www.smartkarma.com/entities/korea-stock-exchange-kospi-200" target="_blank" data-smartkarma-citation="entities:26021:1" rel="noopener">KOSPI 200 INDEX</a> is falling for the second week in a row, but the pullback is modest so far.</li>
<li>This pullback is probably just another occasion to buy at better prices, however some more pullback may be in store between here and the end of the week.</li>
<li>The support area where we think a LONG trade has good probability of success based on our models is between 356 and 350.</li>
</ul>


The KOSPI 200 INDEX is falling for the second week in a row, but the pullback is modest so far.
This pullback is probably just another occasion to buy at better prices, however some more pullback may be in store between here and the end of the week.
The support area where we think a LONG trade has good probability of success based on our models is between 356 and 350.


EQD | KOSPI 200 WEEKLY Bottom May Be Behind the Corner

<ul>
<li>Government sees foreign investors as key for Corporate Value-Up success, considering reinstating short selling.</li>
<li>Planning to expand short selling beyond 350 stocks, but anticipating pushback from retail investors, likely capping additional stocks around 100.</li>
<li>The head of the Financial Supervisory Service will formally disclose these plans during the upcoming short selling conference scheduled for March 13th.</li>
</ul>


Government sees foreign investors as key for Corporate Value-Up success, considering reinstating short selling.
Planning to expand short selling beyond 350 stocks, but anticipating pushback from retail investors, likely capping additional stocks around 100.
The head of the Financial Supervisory Service will formally disclose these plans during the upcoming short selling conference scheduled for March 13th.


Clearing up Confusion About Bringing Back Short Selling in Korea

South Korea

The KOSPI 200 Index is a capitalization-weighted index of 200 Korean stocks which make up 93% of the total market value of the Korea Stock Exchange. The index was developed with a base value of 100 as of January 3, 1990.

Korea Stock Exchange KOSPI 200 (KOSPI2 INDEX EQUITY)

Price Gauge
52-week Range	0.00 - 0.00
Market Cap (USDm)	0.00
P/E	0.00
Dividend (Yield)	0.00

Korea Stock Exchange KOSPI 200 (KOSPI2 INDEX EQUITY)

Today, Korean Regulators Unveiled an Electronic System Aimed at Blocking Naked Short-Selling

Today, Korean regulators, the Financial Services Commission and the Financial Supervisory Service, unveiled the long-awaited computer system...

Sanghyun Park

EQD | KOSPI 200 WEEKLY Bounce: Rally or Not?

The KOSPI 200 INDEX is oversold WEEKLY and may rally to >362, but not much further up than that: ending the bounce this week, it could pull back...

Nico Rosti

EQD | KOSPI 200 WEEKLY Buy-The-Dip Opportunity

KOSPI 200 pulling back for 2nd week, potential opportunity to go LONG if pullback limited to reaching targets between 365 and 338. Caution advised...

Nico Rosti

EQD | KOSPI 200 WEEKLY Bottom May Be Behind the Corner

The KOSPI 200 INDEX is falling for the second week in a row, a modest pullback that may present a buying opportunity in the support price area...

Nico Rosti

Clearing up Confusion About Bringing Back Short Selling in Korea

There's been a bit of a mix-up about bringing back short selling in Korea. This post is here to clear things up and explain what's really happening...

Sanghyun Park

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)

Today, Korean Regulators Unveiled an Electronic System Aimed at Blocking Naked Short-Selling

Today, Korean regulators, the Financial Services Commission and the Financial Supervisory Service, unveiled the long-awaited computer system...

Sanghyun Park

EQD | KOSPI 200 WEEKLY Bounce: Rally or Not?

​The KOSPI 200 INDEX is oversold WEEKLY and may rally to >362, but not much further up than that: ending the bounce this week, it could pull back...

Nico Rosti

EQD | KOSPI 200 WEEKLY Buy-The-Dip Opportunity

​KOSPI 200 pulling back for 2nd week, potential opportunity to go LONG if pullback limited to reaching targets between 365 and 338. Caution advised...

Nico Rosti

EQD | KOSPI 200 WEEKLY Bottom May Be Behind the Corner

​The KOSPI 200 INDEX is falling for the second week in a row, a modest pullback that may present a buying opportunity in the support price area...

Nico Rosti

Clearing up Confusion About Bringing Back Short Selling in Korea

There's been a bit of a mix-up about bringing back short selling in Korea. This post is here to clear things up and explain what's really happening...

Sanghyun Park

The KOSPI 200 INDEX is oversold WEEKLY and may rally to >362, but not much further up than that: ending the bounce this week, it could pull back...

KOSPI 200 pulling back for 2nd week, potential opportunity to go LONG if pullback limited to reaching targets between 365 and 338. Caution advised...

The KOSPI 200 INDEX is falling for the second week in a row, a modest pullback that may present a buying opportunity in the support price area...