Stocks - HSI Leads Down
Updated
Idea for Indices:
- HSI is in something like an island top reversal. Was expecting a bounce to 20 DMA, but only seems to be getting 9 DMA and looking on the verge of collapse.
- This "bull flag" that it was in previously resolving in this way is a huge clue... as this pattern exists right now in so many important markets globally.
- China has already popped their bubble and will lead down, liquidity flows will be HSI > NKY > DAX > NDX > SPX. The deflationary wave is coming IMO.
Next leg down for HSI likely 19 or 21k. This may not translate fully to US markets, but at least should see the bottom of the risk range, so NDX 14k for this initial move. 7-15% correction from the top on US markets.
GLHF
- DPT
- HSI is in something like an island top reversal. Was expecting a bounce to 20 DMA, but only seems to be getting 9 DMA and looking on the verge of collapse.
- This "bull flag" that it was in previously resolving in this way is a huge clue... as this pattern exists right now in so many important markets globally.
- China has already popped their bubble and will lead down, liquidity flows will be HSI > NKY > DAX > NDX > SPX. The deflationary wave is coming IMO.
Next leg down for HSI likely 19 or 21k. This may not translate fully to US markets, but at least should see the bottom of the risk range, so NDX 14k for this initial move. 7-15% correction from the top on US markets.
GLHF
- DPT
Trade active
Nikkei now at a critical support 50WMA:Should this support fall, I would imagine quick capitulation back to 20M/200D and a little below to a support level at 24k~
Note
Nikkei had quite the rally, erasing all losses of the year in a week, but it does look rejected off the resistance: It does have a tendency to go to peaks before dropping off:
Note
HSI indeed dragging everything down, with the Evergrande collapse:Note
for the first time, Korean markets are struggling. Korea is a major industrial output nation, and this is another signal in the slowing global economy:Note
Nikkei is brutal. Erases all losses of the year in 2 weeks, then erases those gains in 2 weeks. Truly the most manipulated market and economy. Multiple death crosses now though, and an exemplary "washout before the flush":Note
Nikkei is now under 200 DMA and the cloud, after an epic bull trap...It seems Kuroda has tricked the world into a new Yen Carry Trade Cycle, but is it really 'Back to Normal?':
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