http://www.bloomberg.com/news/artic...-index-futures-drop-before-industrial-profits
Oh how i love the coming into september....
Oh how i love the coming into september....
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China plunged 8.6 percent
- Thread starter Autodidact
- Start date
I think the Chinese stock market is headed lower. For starters, the Chinese stock market was clearly in a bubble, and by the time a bubble is done bursting it usually retraces to the start of the bubble.
http://tradingslugger.com/2015/07/2...t-will-fall-below-its-200-day-moving-average/
The Shanghai Composite has also far exceeded its 200 sma for too long. A reversion to the mean is overdue, which is what the composite is doing right now.
http://tradingslugger.com/2015/07/2...t-will-fall-below-its-200-day-moving-average/
The Shanghai Composite has also far exceeded its 200 sma for too long. A reversion to the mean is overdue, which is what the composite is doing right now.
China is in a huge bubble, with GDP falling and ghost cities everywhere I'm surprised the index is above 1500.....
even here in the US were in a bubble, no 10% correction in over 1300 trading days, it just keeps on going and going....3rd longest bull market in history...10% correction is absolutely nothing to worry about since the index is up over 200%...
even here in the US were in a bubble, no 10% correction in over 1300 trading days, it just keeps on going and going....3rd longest bull market in history...10% correction is absolutely nothing to worry about since the index is up over 200%...
I think what is remarkable is the level of overt government intervention in the Chinese markets followed by a complete failure to stem the selling. This really has to spook anyone who thinks the Fed and the government have matters in hand here. I have to believe this will affect virtually all other markets.
and more fun in Octoberhttp://www.bloomberg.com/news/artic...-index-futures-drop-before-industrial-profits
Oh how i love the coming into september....
Chinese economy was a ideal for every developing nation since past decade but recent turmoil trembled the equilibrium and made its fall huge.
Chinese farmer featured on ZeroHedge today. He took his life savings ($167k, AND his family's money) used 500% margin, bet in all on one mining company, and was wiped out in margin calls. He now owes his broker more than his original stake. I got an evil chuckle from his rap about how he "trusted the government too much."
500% margin, bet it all on one spin of the wheel, and it's the government's fault.
1) How can Chinese brokerages survive this ordeal, and won't their failure cause additional selling?
2) If everybody and their brother blames the government rather than themselves, what's that say about the state of affairs in China?
500% margin, bet it all on one spin of the wheel, and it's the government's fault.
1) How can Chinese brokerages survive this ordeal, and won't their failure cause additional selling?
2) If everybody and their brother blames the government rather than themselves, what's that say about the state of affairs in China?
Chinese farmer featured on ZeroHedge today. He took his life savings ($167k, AND his family's money) used 500% margin, bet in all on one mining company, and was wiped out in margin calls. He now owes his broker more than his original stake. I got an evil chuckle from his rap about how he "trusted the government too much."
500% margin, bet it all on one spin of the wheel, and it's the government's fault.
1) How can Chinese brokerages survive this ordeal, and won't their failure cause additional selling?
2) If everybody and their brother blames the government rather than themselves, what's that say about the state of affairs in China?
Most stock investors in China are gamblers. Those gamblers know nothing about stock trading. I think it should be easier to make money in China's stock market than in US or european market because there are so many idiots acting as your counterparty.