Shanghai composite is not that bearish as you think
Updated
The major Chinese stock index, shanghai Composite, is not as bearish you might think or you might heard it to be in the news. It has just broken out of a month long fallen wedge formation, which usually appears at the end of a major trend.
The break down yesterday provided great buying opportunities. Given the size of the fallen wedge pattern, it should be at least able to prop the market higher for the next 1 to 2 months given that the wedge low is not taken out.
The break down yesterday provided great buying opportunities. Given the size of the fallen wedge pattern, it should be at least able to prop the market higher for the next 1 to 2 months given that the wedge low is not taken out.
Trade closed: stop reached
Setup failed. It only takes a day to break the wedge low. Panic sale goes around the world like a virus, no index can escape such fate.
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