Hello Traders, HangS eng made a low at 24424.74 on Friday. This low wasn't sold by traders and Investors; they bought the index, what could be a positive sign for the next days, maybe weeks ahead! As long as Friday's low is valid, there could be a countertrend-move underway. It can morph into more! Targets for this idea, are at or around the 24978-24151-15326 area. More bullish potential exist! A break of Friday's low would open the door to the support-level (green trend line) at 23700 level! Overall to speak; HS must interpret as a „bearish-market“; with a lot of risk, `cause of the acting Chinese government! It needs a break of the ~26800, level to clear the view in case, that a corrective phase in the market, lasting since the high in 2018 should come to an end!
Have a great Sunday Ruebennase
Feel free to ask or comment! Trading this analysis is at your own risk!
Here is an ask, but first thank you for the chart.... Where did the support of 23,697 come from? First I thought it was the middle between your resistance and the lower support at 21139, but when calculated it isn't - was that meant to be a centerline between those two (it is close but not exactly)?
Just read Desmond Shum's "Red Roulette", watch.sdpb.org/video/desmond-shum-red-roulette-kpfibc/, which shares everything there is to be considered with regard to "Chinese gov market inputs". Evergrande will be a muddle through managed process. In my calculations there is more downside across Chinese markets, and we will see the support giving way before the bulls get 26,800. So far all we have seen is the gov trying to not have a Lehman moment. The hard work, stuffing the debt into their banks and to make other traders, including global investors pay hasn't been done yet.
Just read Desmond Shum's "Red Roulette", watch.sdpb.org/video/desmond-shum-red-roulette-kpfibc/, which shares everything there is to be considered with regard to "Chinese gov market inputs". Evergrande will be a muddle through managed process. In my calculations there is more downside across Chinese markets, and we will see the support giving way before the bulls get 26,800. So far all we have seen is the gov trying to not have a Lehman moment. The hard work, stuffing the debt into their banks and to make other traders, including global investors pay hasn't been done yet.
Happy Mid-Autumn Festival.
Rolf