china up 23% in 9 sessions

so much for china correction as its back sitting on all time highs. could hit 5k in next month and 6k by august but a serious multi month correction is coming by oct

 

Dont speak so soon. It has to go over 4,335.96. If it does not and then retreats, then the price is moving into a triangle.

When the price goes over the rim then I will say that 4600 is the next target price.

For now, we are looking at Bernanke raising rates on June 28th. Oil going to over 100 dollars per barrel, $5+ gasoline and a ten year in a parabolic climb with realized inflation out of control.

 

Maybe it's a good thing after all us foreigners can neither buy nor short those A shares

 

HSI follows Shanghai composite Index

it reaches a new high

will it be a new start?

 

Cripes, thats a positive outlook.

Doomsayers have been around forever, but -you belive it will be that bad, based on what, apart from the fact it has to happen sooner or later?
And that its long overdue? and that everything points to it?

I base all my stuff on hunches, so it would be interesting to hear.

 

Agree. Far more important than fundamentals or technicals or backtested systems is whether or not you are feeling lucky.

 

Well i agree, but the comments referred to the US economy, so may be OT anyway, i was just wondering if their was much more to the comment, than commonsense and a feeling of doom, generally.
Michealscott has made some incisive posts so far, and i look at a quiji board, so i was curious.

 

Think about it logically. An index/stock/etc. will pullback on what seems like a strong selloff. Then it advances. When it gets to the original pre-selloff price then the traders will have two options.

If they have confidence, then they will continue to buy and the resulting price will be higher then the pre-selloff price.

However, traders may lose confidence at the pre-selloff price and use that as an opportunity to sell.

Therefore, the original pre-selloff price will act as the key pivot point.

If the index is able to move through the pre-selloff price with confidence, then I would expect the height of the selloff plus the original selloff price to be the new target.

However, if the price turns the other way then there are a number of targets that can be reasonably assumed.

 

michaelscott...most rally attempts in the spooz were sold it seemed on Friday...how do you view that technically. Just curious as you said to watch that for a key. Does that mean you think the market is turning down again?