China
The Rig "blue horseshoe loves the next 100 baggers to the moon"it's ike buying a pair of jeans .. and not using it
probably the next big thing when oil hits $100 or ARAMCO debuts soon
it's all a cycle for the benefit of the few greedy players
--
notice the VOLUME underneath relative to previous years..
those whales splashing discretely while price at sub $2 is at rest
--
thieves like to accumulate when no one is minding
"we follow the money that follows the money folks...."
--
all the best and best of years ahead...
DXY Parabolic RiseThe Dollar is surging and gaining strength like it did in 2021/2022 when inflation narrative dominated the market.
Are we witnessing inflation resurgence.
This Multi crossover of the daily moving averages suggests a very strong trend is forming, but this rise in price action often yields a pullback before the next leg higher.
Think about why this is happening...Yields surging, Inflation and China (Evergrande) uncertainty.
China's Long-Term Gold BuyingChina's persistent and substantial gold buying activities have been steadily driving up the price of this precious metal, presenting an exciting opportunity for traders like yourself to consider going long on gold.
Over the past few years, China has been actively diversifying its foreign reserves by increasing its gold holdings. This strategic move is aimed at reducing their reliance on the US dollar and mitigating potential risks associated with global economic uncertainties. China's consistent and significant purchases have already made it the world's largest gold consumer, surpassing India.
The long-term implications of China's gold buying spree cannot be overlooked. As the demand for gold continues to rise, driven by China's insatiable appetite, the price of this precious metal is likely to experience sustained upward pressure. This trend could create a favorable environment for traders who choose to go long on gold.
Considering the predictable nature of China's gold buying activities and their commitment to diversify their reserves, now might be an opportune time to consider adding gold to your portfolio. By taking advantage of this trend, you could potentially benefit from the price appreciation of gold in the long term.
I encourage you to carefully evaluate this opportunity and assess how it aligns with your trading strategy. Conduct thorough research, analyze market trends, and consider consulting with your financial advisor to make an informed decision.
To assist you in capitalizing on this potential opportunity, I recommend keeping a close eye on China's gold buying announcements and monitoring any related market developments. Stay informed about global economic indicators and geopolitical events, as they can significantly influence the price of gold.
Remember, trading always involves risks, and it is essential to exercise caution and implement appropriate risk management strategies. However, with careful analysis and a well-informed approach, going long on gold in light of China's long-term buying activities could prove to be a rewarding investment.
Should you require any further information or assistance, please do not hesitate to comment.
LIQUIDITY MATTERS! Global liquidity vs #BitcoinLook at how the bullish green arrows and bearish red arrows show how global liquidity correlates HEAVILY with the direction of Bitcoin. T
You don't have to be a genius to see how beautiful this correlation is.
And how sensitive #BTC is to excess capital in the system.
As a risk on asset
When ppl have easy money to gamble with , a portion of that ends up in the #Crypto markets.
Currently you can see how aggressive the withdrawal of liquidity is across the globe
In the USA, EU, China & Japan.
EURAUD: When China's news make Aussie and other Asians strong! My dear friends,
Thursday, 14 September, 2023 and ECB interest rate decision is on the way. We'll wait for confirmations.
But before ECB meeting, series of several bad economical news over China's financial stability were published. Market reacted to them rationally. Suddenly the red dragon start to regain it's reputation. Good news for China means stronger Aussie, Kiwi and Yen!
A personal belief: Markets are not optimist to China's long-term relations with the free world and it makes them avoid longer term investing on Asian currencies. We could expect a more bearish weeks for them in next months, however, we don't hold that much so a mid-term bearish correction could be a opportunity for us!
Regarding the weekly chart, some more corrective weekly candles are expected.
snapshot
Considering the daily timeframe, market structure has changed so there could be a stop hunt around 1.68950
snapshot
The horizontal level could be a high probable and good R-to-R entry point.
Levels are based on: Order-blocks, Pivot Points, Support and resistance and Reversal points.
EVERGRANE: $2.20 <-- $28 | Property Bubble Capitulation we've seen this before from LEHMAN to thw GOLD market and recent covid market crash
we await government intervention
or a white knight to take over and flip this back to normal
Primary objective is to stop the bleeding
should be a good speculation stock at sub $1.0 towards $.85 .69 cents
The comeback of the 1997 Asian Financial Crisis in near futureAsia will be shaken to the core once again, but that's good news for China, first, for CCP it is an opportunity to step in and replace dollar with yuan, making countries in Asian region to submit to the Yuan power, de-dollarization of Asia. The first crisis was triggered by the handover of HongKong to China, this time it will be takeover of Taiwan by China.
Fractals on USDTHB charts strongly suggests everything that is said above.
Industrial metals continue to face headwinds as Chinese data disIndustrial metals were the worst performing commodity sector last month and were down 2.7%1. Over the last six months, the sector is down 15.2% and has created the biggest drag on the overall performance of commodities.
China's real estate sector, once the engine of its economy, is now teetering on the edge of crisis because of excessive borrowing, overbuilding, and a housing slowdown. The government's crackdown on risky practices and sudden intervention in 2020 to prevent a housing bubble have led to over 50 Chinese developers defaulting or failing to make debt payments in the last three years. The consequences include reduced consumer spending due to falling housing prices, disappearing jobs tied to housing, and decreased business confidence. While policymakers have taken modest steps to address the situation, the real estate turmoil has spread to financial institutions and the broader economy, prompting concerns of a larger crisis. A build-up in industrial metal inventories over the last 3 months is consistent with market expectations of ample supply of the metals for the rest of the year, given relatively modest demand. Zinc inventory is up 96% while lead inventory is up 85% compared to 3 months ago.
This is clearly weighing on sentiment towards industrial metals. Copper (COMEX) was down 2.8%1, and aluminium down 2.8%1. The only bright spot in the basket was lead, which was up 3.7% last month. Speculative positioning in COMEX copper has been oscillating between positive and negative territories in recent months and entered negative territory again last month after briefly becoming positive2. COMEX copper inventory is up around 46% compared to 3 months ago. And although copper held in COMEX is one of the smaller stores of the metal, when combining London Metal Exchange, Shanghai Futures Exchange and COMEX, copper inventory is still 27% above where it was 3 months ago.
Nickel was down 5.7% last month1. Although nickel is widely known for its use in electric vehicle batteries, a growing market, it still draws around two-thirds of its overall demand from the production of stainless steel. China's steel market has been facing pressure in August due to continued high steel production despite sluggish end-user demand. Blast furnace utilization rates have risen, but some local mills in key steelmaking provinces like Hebei and Jiangsu have not received official communication about output reductions. Uncertainty surrounds the extent of China's steel output cuts for the rest of the year, with expectations of smaller scale cuts targeting environmentally sensitive regions. Rising steel inventories are attributed to robust production and weak demand. Despite potential production cuts, market sentiment remains cautious due to these challenges, and steel prices have declined. This, in turn, is weighing on nickel.
Source:
1 Bloomberg as of 21 July 2023 to 21 August 2023
2 Commodity Futures Trading Commission (CFTC) as of 15 August 2023
3 change in inventory over the past 3 months by United States Department of Agriculture
This material is prepared by WisdomTree and its affiliates and is not intended to be relied upon as a forecast, research or investment advice, and is not a recommendation, offer or solicitation to buy or sell any securities or to adopt any investment strategy. The opinions expressed are as of the date of production and may change as subsequent conditions vary. The information and opinions contained in this material are derived from proprietary and non-proprietary sources. As such, no warranty of accuracy or reliability is given and no responsibility arising in any other way for errors and omissions (including responsibility to any person by reason of negligence) is accepted by WisdomTree, nor any affiliate, nor any of their officers, employees or agents. Reliance upon information in this material is at the sole discretion of the reader. Past performance is not a reliable indicator of future performance.
China downturn bet and some catalystsFundamentals
AUD
The slowdown of the Chinese economy drags down Australia which heavily exports to China, thus bearish sentiments in the AUD.
Today economic data on China is mixed: even though there were some improvements in Manufacturing PMI, the markets couldn't hold gains in the next few hours. Such minor improvements are just a drop in the sea of current broader structural deficiencies.
In addition, yesterday Australia posted weak data on Building Approvals and Construction Work Done, which are quite a catalyst for AUD weakness.
USD: "Higher rates for longer" narrative. Although the employment data is expected to come out at a decline. So In case the expectations are missed, positions should be managed in a risk-averse manner.
Technical & other
Setup: S(RTF)
Setup timeframe: 4h
Trigger: 4h
Medium-term: Down
Long-term: Down
Min target: Aug lows
Risk: 0.52%
Hyperinflation China (CNY) + Japan (JPY) First to Go!
Chinese real-estate has collapsed
China refuses to update new unemployment metrics (like they've ever told the truth)
China BOC keeps printing to backstop this (parabolic m3/m2)
China forcing peoples money trapped in this death spiral
Japan Real estate is also dead
Japan stocks / Gasoline is going parabolic due to the start of hyperinflation not a booming economy
Japan's BOJ also can't stop printing! what could go wrong?
I've made post about this months ago with warning signs about Japan's stock market going parabolic without anything going on.
This is text book Weimar Germany 1923, why the Chinese stocks going down though? simple the capital is trying everything to exit into US markets.
The CCP has printed so much money and you know what people did with it? they sold it for US Dollars and used it overseas because nobody is buying the bs that China is a booming / powerful economy its completely collapsing you love to see it!.
Japan? their currency is done.
Both these countries have debt to GDP past the point of no return.
Both these countries have PPI / CPI going parabolic past the point of no return.
People have started to panic in China and it will follow in Japan followed by a complete meltdown, but the trick here is there's a chance this will not take out the US markets ironically.
All of this capital will flow back into the USA.
The final take away from this is the US markets see's strength not from "Real growth" but from countries where people have no option to diverse and enter the US market.
"Forecasters recession this recession that" it never equals what the markets actually do.
Copper - Did Social Media Tell You To Long The CCP Again?They call copper "Doctor Copper" because it's said to forecast the overall world economic conditions on account of being tightly wed to manufacturing.
Well, what people are really yammering about with that over the last 20 years is whether or not the Chinese Communist Party is healthy, and the world by proxy being healthy because it tied itself to the most heinous regime in history, the one responsible for the 24-year persecution of Falun Gong by former Chairman Jiang Zemin and the accompanying organ harvesting and genocide.
Unfortunately for all the blind bulls, the early 2021-2022 price action was a pretty good indication of a top, and that top is really confirmed by the fact that since October of '22, this bounce has been pretty weak, and starting this month, with all the drama surrounding the slow collapse of the Chinese economy, took out the previous two months' lows.
Monthly shows you that August price action took both the July and June lows.
Like, that's not the kind of "signal" you want to see to get long for a new all time high.
When something is retracing to take out major highs, you want to see lows rarely violated with something of a freight train towards the old highs.
Weekly bars show us something of a subtle pattern where it looks like it's just taken some lows and is consolidating and continually flirting with going back up.
But in reality the market makers are, most likely, just selling more under the previous $4.00 area.
And if that's really true, it means another gap down is imminent, especially after an entire quarter of ranging.
If you ask me, the first area that you can look for a long that is more than a scalp on copper is under $2.8, which is a critical pivot from September.
And a more likely target in the next 12 months is the $2.00 mark, which was barely swept out in the COVID drama.
The reality is, my friends, the Chinese Communist Party is going to fall overnight in our lifetimes. Not five or ten years from now. But very shortly, and everything is going to change.
Whether that is caused by Xi Jinping throwing away the CCP to protect himself and China from being taken over by the International Rules Based Order as it uses Taiwan as a soft proxy war, or because the whole world collapses under the results of the persecution of Falun Dafa, since everyone's been going to Shanghai to worship the toads and the Devil Red to get financial benefits.
This is the danger.
The danger is imminent.
But copper trades painfully slowly, so if you want to do this you have to have long duration, ignore the noise, and be willing to suffer some drawdown.
China under the CCP is never going to recover. Things are never going to be okay ever again.
Things will be okay once mankind returns to tradition.
But there won't be an international stock market like this anymore that day.
Australian dollar edges up ahead of inflation reportThe Australian dollar is in positive territory on Tuesday. In the European session, AUD/USD is trading at 0.6437, up 0.12% on the day.
China's economic slowdown is bad news for the Australian economy, which counts China as its biggest export market. China's imports have been falling and as a result, commodity prices have dropped, hurting Australia's exports of iron ore and gold to China.
China continues to record weak economic numbers and this will likely be reflected in lower GDP releases, although economic growth is above 5%. The Australian dollar is sensitive to China's economic strength and has declined by around 3% in the third quarter.
The Reserve Bank of Australia meets on September 5th and is widely expected to hold rates at 4.10% for a second straight month. There are clear signs of the economy cooling, including inflation and wage growth easing and a slight rise in unemployment. The RBA would like to extend the pause in rate hikes, with an eye on lowering rates sometime in 2024.
All eyes will be on Australia's July inflation report which will be released on Wednesday. Inflation has been falling, albeit slowly. In June, inflation fell from 5.5% to 5.4% and the consensus estimate for July is 5.2%. If inflation drops to 5.2% or lower, it should cement a RBA pause in September. A higher rate than 5.2% won't necessarily mean a rate hike, but it would likely lower the odds of a pause, which are currently around 90%.
In the US, it is a busy Tuesday with consumer confidence and employment releases. The Conference Board Consumer Confidence index has been on the rise and soared to 117.0 in July, up from 110.1 in June. The estimate for August is 116.0 points. JOLTS Job Openings is projected to decelerate for a second straight month in July, from 9.58 million to 9.46 million.
AUD/USD tested support at 0.6424 earlier. Below, there is support at 0.6360
There is resistance at 0.6470 and 0.6531
Shanghai Stock Market (SSE Composite Index): A Closer LookThe Shanghai Stock Market is like a financial puzzle, and right now, it's showing us some interesting moves.
First, the rise in the 10-year yield from 3-year lows suggests that there might be changing expectations about economic growth, inflation, or monetary policy. This could be due to a variety of factors such as improved economic prospects, inflation concerns, or changes in the global interest rate environment. The central bank also did something important by closing a 5-billion yuan money deal. It's like they're keeping a watchful eye on how money is moving around. On top of that, they pumped a massive 385 billion yuan into the system, which can make things more exciting.
Now, let's talk about Ichimoku Cloud analysis. It's like a weather forecast for the stock market. Right now, it's showing that the market might be heading up, which is a positive sign. However, the cloud isn't very thick. This means we should be a bit cautious.
There's another important sign on this chart. Tenkan points up, suggesting the market might go up soon, even though it's under Kijun resistance line. It's a bit like seeing a green light at an intersection, even if the other light is still red.
So, as we decode these numbers and signals, it's clear that the Shanghai Stock Market is in a state of flux, with various factors at play. Investors will need to stay vigilant, considering both the data and the bigger economic picture to make informed decisions in the coming year.
China50 forming a bottom?CHN50 - 24h expiry - We look to Buy at 12555 (stop at 12435)
Price action looks to be forming a bottom.
Previous resistance at 12530 now becomes support.
12531 has been pivotal.
Support is located at 12530 and should stem dips to this area.
Buying posted in Asia.
Our profit targets will be 12855 and 12935
Resistance: 12700 / 12850 / 13000
Support: 12600 / 12530 / 12450
Please be advised that the information presented on TradingView is provided to Vantage (‘Vantage Global Limited’, ‘we’) by a third-party provider (‘Everest Fortune Group’). Please be reminded that you are solely responsible for the trading decisions on your account. There is a very high degree of risk involved in trading. Any information and/or content is intended entirely for research, educational and informational purposes only and does not constitute investment or consultation advice or investment strategy. The information is not tailored to the investment needs of any specific person and therefore does not involve a consideration of any of the investment objectives, financial situation or needs of any viewer that may receive it. Kindly also note that past performance is not a reliable indicator of future results. Actual results may differ materially from those anticipated in forward-looking or past performance statements. We assume no liability as to the accuracy or completeness of any of the information and/or content provided herein and the Company cannot be held responsible for any omission, mistake nor for any loss or damage including without limitation to any loss of profit which may arise from reliance on any information supplied by Everest Fortune Group
Coal Futures ~ Snapshot TA / Neutral-Bullish AccumulationNewcastle Thermal Coal Futures breaking out of short-term downtrend + Neutral-Bullish Accumulation around 78.6% Fib Retracement.
Still within larger downtrend after steep sell-off through later half of 2022 into 2023.
(Coal) embers likely re-igniting due to recent China stimulus measures & other macro-economic influences, TBC.
Highlighted preliminary Trading Range 174.05-129.
On watch for further price action development &/or break out of range in either direction.
Boost/Follow appreciated, cheers.
Futures: ICEEUR:NCF1! ICEEUR:NCF2!
ASX: ASX:WHC ASX:NHC ASX:YAL ASX:SMR ASX:TER
Iron Ore Futures ~ Snapshot TA / Coiling like a Steel RollIron Ore Futures coiling like a steel roll in a series of Lower Highs & Higher Lows since October 2022.
Break above 116.60 = Bullish momentum towards 134.85 (38.2% Fib Retracement)
Break below 99.40 = Bearish momentum towards 77.60 (78.6% Fib Extension)
Seasonality typically favours the Bulls running strong into end of year - we'll see if it still rings true this year, given China's current economic woes..
Boost/Follow appreciated.
Futures: SGX:FEF1! SGX:FEF2! COMEX:TIO1! COMEX:TIO2!
ASX: ASX:BHP ASX:RIO ASX:FMG ASX:MIN ASX:CIA
NYSE: NYSE:VALE
SHCOMP ~ Snapshot TA / Bearish H&S Development (TBC) / WeeklyChina's Economy is dangerously on the ropes...things have gotten so bad, CCP had to make an announcement on a Sunday night (AEST/UC+10) that they're going to intervene in their domestic market with a raft of "measures" in hopes of boosting market confidence:
- Halve stamp duty on stock trading
- Tighten pace of IPO listings
- Cut margin financing requirements
- Restrict listed companies' refinancing
- Restrict share reductions by major shareholders
My gut instinct tells me this will be a financial disaster...luckily we've got charts to tell us what's really going on.
Taking a (Snapshot TA) look, SSE:000001 appears to be developing a Bearish H&S. Extrapolating Head-to-Neckline indicates price could be heading towards a pretty interesting Confluence Zone :
- Gap fill (weekly)
- Retrace to previous 2014 break-out (aka Return to Scene of Crime)
- Key demand/support zone
- Multi-decade trend line
Note: While chart patterns (ie H&S) are great at spotting trends, etc. it's important to focus on associated demand/supply zones & how price interacts with key levels to determine when & where to scale in/out of positions.
All (technical) signs point to SHCOMP in process of capitulating...problem with Govt interventions is it becomes a momentum play in either direction & technicals take a back seat.
We'll just have to take note of critical levels, set alerts & wait for the dust to settle..
Boost/Follow appreciated, cheers :)
CFD/INDEX: PEPPERSTONE:CN50 PEPPERSTONE:HK50
US: NASDAQ:AIA AMEX:FXI AMEX:EEM AMEX:CQQQ AMEX:KWEB
ASX: ASX:IAA ASX:IZZ ASX:IEM ASX:CNEW ASX:ASIA
Tesla - What To Expect Until September?I heard something rather enlightening on Twitter recently, and it was someone who quoted some sort of analyst as pointing out "Tesla is its own market."
I think that's really correct, and really apt, especially in light of a recent analysis of the new JPM collar that dropped on Friday, where I anticipate a very violent and very major drop in the markets until Q3.
SPX/ES - An Analysis Of The 'JPM Collar'
The point is that Tesla can (and has; and will) go up or go down regardless of what the indexes are doing
This call is also a continuation of a very successful call I had on Tesla posted in February. Things took several months to pan out to the downside and then to the upside, but everything came to fruition:
Tesla - $250 Is Coming... Don't Lose Your Legs In the Bear Trap
The key thing with Tesla, especially for the long term holders who think this company has a $3 trillion valuation in it like Apple does, is the Q4 dump to almost exactly $100 was anything but bullish.
But fortunately, this "bearishness" has manifested in a significant bounce, and, in my opinion, the Party hasn't yet stopped here.
Speaking of "The Party," you have to be very careful with Tesla because Elon Musk decided to root a huge bulk of his company's production with a Gigafactory in Shanghai-Babylon.
This leaves this company open to exceptionally enormous geopolitical and fundamental risks as President Xi Jinping faces the possibility of having to dump the Chinese Communist Party overnight, any night, because of the battle against both the remnants of the Jiang Zemin faction inside China and the "International Rules Based Order" that's rooted itself in Taiwan.
To put it plainly, the IRBO wants to take over China using someone it has groomed from The Republic when the CCP falls, with the idea being to take down Xi with the Party.
The "Jiang Faction" is significant because it's the architect and conductor of the 24-year-long persecution and genocide of Falun Dafa's 100 million practitioners.
The sins are grave to the extreme and can (and will) be weaponized to put an end to the threats to Cathay.
With Tesla, I believe it's going to dump, and with some fury. And during the process, you'll hear a lot of FUD about blah blah fundamentals this, blah blah "can you believe how this ponzi is dumping people who bought $250 will be generational bagholders" that on social media.
You need to ignore all of that, because the day Tesla breaks $100 is the day Tesla is finished.
Moreover, Tesla is about to give you a buying opportunity in the $180 range. Remember that whole adage about "buy the dip"?
You're about to get the opportunity, again, but it won't feel very good because things will be scary and it will seem like everything is going to zero, and tomorrow.
Seriously, read the JPM collar post above.
Once the dust has settled, if the April lows remain intact, then the next target is the equal highs printed in July to September before the enormous sell off, amounting to nearly another two bagger.
But perhaps what Tesla really is aiming for is something Musk can get high on.
If by early September you see the price bouncing and try to short, it'll more or less turn out as bad as it did for NVDIA bears.
No matter how you complain about P/E ratios and market cap and comparisons to Ford and Toyota, the reality is, this is what a bearish market structure actually looks like in action.
The banks sell on red and buy on green.
You buy on green and sell on red.
It's a painful reality, isn't it?
NZD/USD climbs ahead of retail salesThe New Zealand dollar has posted strong gains on Tuesday. In the European session, NZD/USD is trading at 0.5959, up 0.55%. On the data calendar, New Zealand retail sales are expected to decline by 2.6% q/q in the second quarter, compared to -1.4% in Q1.
The New Zealand dollar has gone on a dreadful slide since mid-July, falling as much as 500 basis points during that spell. The current downswing has been driven by weak global demand and jitters over China's economy, which is showing alarming signs of deterioration.
Chinese releases have been pointing downward recently. Exports and imports have fallen, manufacturing activity is weak and the world's second-largest economy is experiencing deflation. Last week, Evergrande, a huge Chinese property developer, filed for bankruptcy in the United States, raising fears of contagion to other parts of the economy.
It wasn't long ago that the Chinese 'miracle' was being touted as an economic powerhouse on the global stage, but now the world's second-largest economy is in deep trouble and is dragging down global growth. An interesting silver lining is that deflation in China could help lower inflation worldwide, which would be good news for the Fed, ECB and other central banks that are battling to push inflation lower.
The People's Bank of China (PBOC) has responded in recent days to the economic slowdown with some cuts to lending rates, but surprisingly, has not trimmed the five-year loan prime rate, which has a major impact on mortgages. The PBOC's lukewarm move to the economic crisis could mean China's economy will continue to sputter, and that is bad news for the New Zealand dollar, as China is by far New Zealand's largest trading partner. If Chinese releases continue to head lower, we can expect the New Zealand dollar to continue losing ground.
NZD/USD has pushed above resistance at 0.5941 and is putting pressure on resistance at 0.5978
There is support at 0.5885 and close by at 0.5848