Shanghai Composite: Crouching Tiger?

SSEC has been crouching just below 2700 level for the past few weeks. The two possibilities in my view are shown on the chart. Whichever the case, i'm looking for an initial target between 2900-3060 in the short-to-medium-term, and possibly even higher in the medium-term. Depending on your chosen vehicle for trading the SSEC, you may be outperforming big time, especially if you are in a small-cap focused etf or fund (Check out the FTSE Xinhua charts below).

(FTSE Xinhua) All-Share Index vs China A50 Index vs Small Cap Index

China A50 approximates the performance of SSEC.

The Small Cap Index has already exceeded its all-time-highs! So, it pays to know your etf/fund. Please do your own research on performance, as i am unable to provide specific fund/etf recommendations.

The long-term outlook for China is not necessarily all bullish. For my longer term view on the Shanghai Composite, check out this earlier post: "Shanghai Composite: Why i am BULLISH medium-term!".

So, where are the long-term Bull Markets?

If you wanna find out where the Asian Bull Markets are, I highly recommend this excellent copy(older edition) of the Asian Pacific Financial Forecast, from Mark Galasiewski of EWI - can be downloaded for free - covering the major Asian markets.

Enjoy!

S&P500: Trendline Watch

S&P500 has reached the downtrendline as suggested, and may now take a breather, before breaking above it. Very Short Term, support is at 1100 & 1085. My primary view in the medium-term: a move up towards 1130-1150 is possible to finish this complex B wave. Still expecting a C-wave tumble towards 950 after that, to possibly end the correction. Watch the blue channel on a break above the maroon channel.

All the best!

EWI Free Week for Asian & European Markets!

Hello folks,

Elliott Wave International has just announced the beginning of their wildly popular FreeWeek event.

You can access(for FREE) EWI's short-term analysis of Asian-Pacific (such as China, India, Hong Kong, Singapore, Japan, Taiwan, Gold) and European markets from EWI's Short Term Update services right now until noon Eastern time Friday, Sept. 10.

I trust you will benefit from this analysis. Remember, it is a limited time offer.

You can click here, or on the banner above to access the content. (You may have to sign up for a free club member id, if you haven't done so already)

Enjoy!