COVID-19 cases have been continuing to increase and the economic forecasts outlook has been revised lower by the banks again…
Yet, even with these negative catalysts in worldwide markets, China risks inflating another stock market bubble.
Investors in Chinese stocks are jumping in aggressively to say the least. The CSI 300 Index (SHA:000300) has now risen more than 18% in one week of trading. To show how scary that jump is – that’s the largest climb in the index since its massive bubble pop and crash in 2015. The main Chinese stock benchmarks are in massive overbought territory demonstrated by their relative strength indices (RSI’s). As traders well know, when price action excels into those extreme territories, a correction will always take place.
Watch the expert-panel video to see which Chinese stocks could surge (including the Spotify of China), how the rise in the Chinese stock market will affect U.S. markets, and what key levels to look into as traders to profit on the back of this news.
Written by James West
P.S. I don’t know if you knew this, but the most important work traders do happens before the market opens…
This pre-open ritual helps traders develop a plan of action for the day… That’s how they stay ahead of this crazy and unpredictable market.
And lately I’ve been receiving helpful tips from the world’s #1 pre-market trader — alerting me of trades based on signals that happen before the open.
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