Someone posted a daily chart for China A50, claiming that the Chinese stock market has already fallen to a 52-week low and asserting that a global recession is about to come. They said that the U.S. stock market is held up only by leverage, hope, and dreams.
The chart indeed doesn’t look very good. The A50 has been sliding since its intra-year high of over 21,000 points, and now it’s hovering around 14,000, with the price staying below the 200-day moving average.
But pessimists can always find reasons. Long and short each have their own charts. The A50 is an offshore futures contract: it has a small size, large volatility, and sentiment can be amplified easily, so it may not reflect the full picture of China’s A-share market. As for “the U.S. stock market is held up by hope,” it sounds good, but it only delivers a conclusion—without giving timeframes, without stating the magnitude, and without clarifying what exactly is wrong.
You can look at other people’s views, but you still have to think for yourself. Position sizing is ultimately your own business.#英伟达批准1500亿美元回购 $ZEC
The chart indeed doesn’t look very good. The A50 has been sliding since its intra-year high of over 21,000 points, and now it’s hovering around 14,000, with the price staying below the 200-day moving average.
But pessimists can always find reasons. Long and short each have their own charts. The A50 is an offshore futures contract: it has a small size, large volatility, and sentiment can be amplified easily, so it may not reflect the full picture of China’s A-share market. As for “the U.S. stock market is held up by hope,” it sounds good, but it only delivers a conclusion—without giving timeframes, without stating the magnitude, and without clarifying what exactly is wrong.
You can look at other people’s views, but you still have to think for yourself. Position sizing is ultimately your own business.#英伟达批准1500亿美元回购 $ZEC