Thursday, 25 October 2018
Updated China Technicals reflecting Equity Markets of China and Hong Kong: 25 October 2018, Thursday, 12.01am Singapore Time
25 October 2018, Thursday, 12.01am Singapore Time
(Click on Technical Chart above to Expand)
Attached above is the Technicals for iShares China Large Cap ETF (NYSE: FXI) representing the basket of China's greatest blue chip stocks making up the ETF basket. China large caps are now at the 50% retracement zone. The 50%-retracement zone in dark green is now meeting the light-orange channel whose width and angle has been formed by the red-coloured same-angled resistance slopes as illustrated on chart. The end of correction within healthy bull market for China is more or less here -- downside limited, upside lucrative, hence forming an excellent reward-risk ratio (buying zone) for Chinese and Hong Kong stock markets. Asia-Pacific and Emerging Markets' corrections are at bottom now. After taking profits of all China shorts off the table, I am beginning to collect China buys now. Notice how I transit from shorts to longs slowly and in stages -- like how water flows.