There’s potential for Chinese stocks to form an Adam-Eve double There’s potential for Chinese stocks to form an Adam-Eve double bottom pattern, which could be an encouraging signal for a major upward rally. This pattern, known for its “V” and “U” shape in technical analysis, often indicates the end of a downtrend and a stronger foundation for a bullish reversal. If the pattern completes successfully, it may suggest renewed investor confidence and momentum, potentially paving the way for a new growth phase in the market. With various economic factors aligning, this setup could signal a significant opportunity for those looking at long-term positions in Chinese equities.
000300 trade ideas
CSI 300 [Weekly Chart]The similarities of market movement in the CSI 300:
1. 2006-2007
2. 2014-2015
3. 2020-2021
After which we see a crash in the CSI 300 following a 8 months to 1 year (est.) rally.
The rally leading up to the crash also comes generally in 2 stages.
"History doesn't repeat itself, but it often rhymes"
CSI300 BULL FLAG ON SUPPORT LOOKS PROMISING. BREAKOUT NEEDED❗️❗️CSI has honored the significant demand zone, suggesting a potential continuation in the rally. The price respecting this highlighted zone coincides with the formation of a bullish flag on lower timeframes, further bolstering our bullish expectations. Notably, a bullish breakout has been confirmed on the formed flag, potentially leading to a rally with the creation of a pullback.
If sufficient volume and pressure emerge, there's a possibility of another bullish breakout on the trend line formed, which is crucial for validating our outlook.
Are we nearing the bottom yet ?The more negative news we received about China, the more people want to know about it. From the property slump, weak demand, subdue consumer confidence to ever changing government policies, all eyes are peeling onto China and awaits eagerly for a plethora of good news to come out from the Chinese Government.
The top 300 companies in China , reflected in CSI300 Index shows we are almost near the bottom, revisiting the low of 2019. Some say there will not be a bazooka like stimulus but knowing China, they can offer surprises overnight so I am hanging on to some paper losses and awaiting good news from them as well.
Sit tight, the light is at the end of the tunnel (aka a very long tunnel)............
[EN] China. Historic Opportunity // GaliortiTradingThe Chinese government and its central bank are starting to implement an expansionary fiscal and monetary policy with a double objective: to end capital outflows and ensure a 5% annual GDP growth.
This is a great medium-term trading opportunity in CSI300 with a great win/loss ratio (26/1). No other index in the world today has such a reward!
If we look at the monthly chart there is a large liquidity zone between 3,400-3,60 0 that has acted as a support/resistance zone over the last 15 years. If it is surpassed, an important bullish leg could be triggered.
Prices have a clear bullish divergence with the oscillators, or that would support the move.
1 W
Since February 2021, the index has been in a medium-term downtrend but has failed to break the long-term uptrend line (it has already rested three times above it).
1 D
If the index manages to overcome its short-term bullish trend line (since August) and closes the downward gap of last Thursday, October 19, it will send a strong signal of strength . Note that the oscillator chart has already broken the downtrend line .
Let's be very attentive.
Pablo G.
Opportunity in China?No one wants to invest in China now, due to various reasons. But if we inspect the chart of the CSI300, we can see that the price is sitting at a major support here.
1. support resistance neckline
2. confluence with 618 retracement of the up move
3. potential right shoulder of a (potential) massive reverse head and shoulder
4. MACD on the daily and weekly also showing a higher high, indicating diminishing downward momentum, but of course it's still below zero. (not a big user of MACD, but just want to point out)
CSI300 is a China onshore A shares index, but multiple other Chinese index should be displaying similar pattern...As US equities are overheated and retail have FOMO ed in while big players and experienced traders have been trimmed their positions, what if some of them look for bargains in China? Personally I am long China, sort of neutral in US, shorting stuff like Tsla (trading the retracement and holding some crypto related stuff long term. Just thought many people are not paying attention in China, but still, major catalyst gonna be needed.
CSI 300CSI 300
Fundamental
By :Masih Rezvani_Ph.D
Chinese stock extends gains ahead of Lunar New Year
China's CSI 300 index gained 2.6% this week as foreign investors continued to buy local shares on the back of the nation’s economic reopening and pro-growth policies.
The CSI 300 Index rose 0.6% Friday, capping a fourth straight week of gains. The gauge is up just over 19% from its October 31 low thanks to consumer stocks and financials, as investors bet on a surge in retail spending and improved business environment following President Xi Jinping's moves to exit "Zero-COVID" policy and focus on growth.
All analysts are increasingly turning bullish on Chinese stocks as economists upgrade their forecasts for economic growth this year.
Sentiment is also boosted by a number of property support measures. The latest report showed the nation's financial regulator and bad-debt managers are beefing up refinancing support for high-quality developers.
More hopeful on China indices than USSee chart.
Banging on domestic tourism, hospitality sector picking up, Covid-19 situation improving, PMI data improves, possible US- China trade tariffs lifted soon , Central government determination to shore up the economy, urbanisation rate increasing, more people returning to work
CSI 300 IndexThe CSI 300 (Chinese) is a capitalization-weighted stock market index designed to replicate the performance of the top 300 stocks traded on the Shanghai Stock Exchange and the Shenzhen Stock Exchange. It has two sub-indexes: the CSI 100 Index and the CSI 200 Index. Over the years, it has been deemed the Chinese counterpart of the S&P 500 index and a better gauge of the Chinese stock market than the more traditional SSE Composite Index.
CSI 300 May See a Breakout or Breakdown in the Coming Weeks China's CSI 300 index has moved into a consolidation pattern since making a multi-month low back in July. A Symmetrical Triangle pattern opens the door for a breakout or breakdown, with 5378.47 and 4554.71 serving as respective upside/downside targets. However, the falling 100-day SMA may pressure prices within the triangle in the coming weeks. In any case, a break above or below support/resistance opens the door for an extended move.
Decisive Month for Chinese Developers, Failure of Active FundsEven though China's second-largest developer Evergrande escaped default again last week by paying at the last minute, it's still a long way from a happy ending. And the point is not even that another large developer from China cannot pay off its obligations (Yango Group said on Monday that it is going to extend payments on three of its dollar bonds). The problem concerns the sector as a whole.
Bond yields skyrocketed to 20%. That is, it will not work out especially to refinance the debt. At the same time, according to Bloomberg, in November, Chinese developers will have to repay over $ 2 billion in loans. It is possible that as a result, the ranks of defaulters will be replenished with new names.
In the meantime, China is trying to avoid a crisis, let's talk about active investment. Back in the 60s of the last century, it was empirically proven that in the long term active investment management in one wicket loses out to passive one. Roughly speaking, the average return on investment funds is usually lower than the growth rate of the stock market as a whole. That is, there is no point in trying to choose one or another set of shares, it is more efficient to buy the entire index.
So the other day another study was published, which showed that nothing has changed over the past 50-60 years. Of the nearly 3,000 active funds analyzed by Morningstar, only 11% of actively managed large-cap funds outperformed passively managed funds over a 10-year time frame.
As for the period of the pandemic, which seems to be ideal for active management (high volatility, wild jumps in macroeconomic indicators, etc.), it did not work here either: only 47% of active funds were able to survive and outperform passive funds. That is, in fact, random and the notorious 50/50. In general, we continue to follow Katie Woods: with her investment policy, she is a typical candidate for the queue of those who did not pass natural selection in the long term.
CSI 300 - 2021 Q4 Outlook [1-3 months view] Trend Analysis Chart Patterns Wave Analysis csi300 china hongkong index Equity
Having completed the ABC corrective wave, CSI 300 started a new impulsive wave at the start of 2019. With price testing 1st support around the 4663.90 region where we also have a 50% Fibonacci retracement and possible wave 4 completion.
With the CSI 300 index holding above long term moving average and Stochastic indicator holding above support where price bounced strongly in the past, we see a strong case of price facing renewed bullish pressure. Price could very well push towards our 1st resistance at 5449.57 level and possibly even completing wave 5 target at our 2nd resistance level of 5930.90. Our 2nd resistance level is a key level as it is in line with the historical high of the index and also we have strong Fibonacci levels that finds confluence at that level.
CSI300 : PRICE ACTION SMALL TIMEFRAME - PRICE READY TO GROW ! 🔔Welcome back Traders, Investors, and Community!
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Central banks, OPEC +, earnings season, dollar and ECBYesterday started with the Bank of Japan. As we have already noted, the parameters of monetary policy (rates and quantitative easing program) were left unchanged. But at the same time, the Central Bank lowered its own forecast for the country's economic growth in the current fiscal year (ends in March 2021): GDP will decrease by 4.5% -5.7% (previously the range was 3% -5%), that is, outlook is worsened very significant.
The Bank of Canada also did not change the status quo: the parameters of monetary policy were left unchanged.
Among other news, it is worth noting the results of the OPEC + meeting. As we predicted, the voluntary 9.7 million b / d cut for August was not extended. This means that in a couple of weeks, the supply in the oil market may immediately grow by 2 million b / d, which is a very strong bearish signal. On the other hand, OPEC + assures that the overall reduction in August and September will be not 7.7 million bpd, but about 8.54 million bpd over the next two months, since Iraq, Nigeria, Angola, Russia and Kazakhstan will compensate for previous non-compliance.
Otherwise, markets continued to be in risky mode following the announcement of Moderna vaccine trials. We have note once again that this news does not solve the current problems in any way, even if we forget that this is a very early stage of testing and more than one month will pass before the vaccine appears on the shelves.
However, this temporary optimism boosted equity markets and also weighed on the dollar. As a result, the Dollar Index tried to break the key support 96. So far, we cannot state unambiguously that the level has been taken, which means that all our recommendations for buying the dollar remain relevant. But if a breakdown does occur, then it makes sense to turn into dollar sales across the entire spectrum of the foreign exchange market.
The earnings season, meanwhile, continues and yesterday's reports can be treated as good ones for the current conditions. However, the growth of equity markets was very limited. This is largely due to the fact that those companies whose results turned out to be better than forecasted had their own unique reasons for improving performance, which, moreover, were of a rather one-step nature.
In general, stock markets are clearly losing momentum. For example, today the data on Chinese GDP came out better than forecasted, but the Chinese stock market is in deep red.
Today we are preparing for new reports from US corporations (Netflix, Johnson and Johnson, Morgan Stanly, Bank of America and others), as well as the ECB's decision on the parameters of monetary policy in the Eurozone.
Intraday trade on CSI 300I identified a strong buy signal on the 4h and 1h chart after testing the support formed simultaneously by the Tenkan and the Kijun. Target is the resistance formed by the SSB and Kijun on the 4h chart.
Buy signal is confirmed by the RSI that has made a great bounce over its neutral zone on the 4h timeframe.
Please note this bounce occurs in the context of an up parallel channel that lasts for already a few days.