🐂 Not all bull runs are created equal. November’s AI picks include 5 stocks up +20% eachUnlock Stocks

China's Hang Seng Index Plunges Below Major Support...

Published 03/14/2022, 03:08 AM
Updated 07/09/2023, 06:31 AM
HK50
-
GXC
-
SSEC
-

Selling has acceletated to an all-time extreme level—even exceeding that which occurred during the 2008/09 financial crisis—in China's Hang Seng Futures Index, (HK50), which has plunged below a major support level of 20,000 in Sunday night's wild trading, as shown on the following monthly chart (the price is still dropping as I write this post).

This follows my post of Mar. 7, which warned of possible impending weakness in China's Shanghai Index (SSEC) due to diverging extreme weakness in its Financials ETF—SPDR® S&P China ETF (NYSE:GXC).

Failure to recapture and hold above 20,000 could see a swift plunge to 16,000, or lower.

Hang Seng Futures Monthly Chart

The following article describes 11 major factors that may have contributed to its 4.3%+ drop from Friday's close.

ZeroHedge Article

Perhaps President Xi will rethink his recent no-limits alliance with Russian President Putin—due to Putin's new-found status as the "world's pariah" and the indiscriminate slaughter of innocent women and children and the war crimes he's committing in his barbaric war on Ukraine (moving ever closer to NATO neighboring countries, in the process)—and reconsider whether he, either, wishes China to remain a viable trading partner (and become more stable and trustworthy in the process) and attract foreign investment from the West, or risk losing that privilege altogether.

"Either the world moves backward into fractured, unstable, waring, and bloody medieval times, dominated by unending depressions, famines and disease, or it moves into the 21st Century with grace and stability.
"President Xi has a big part to play in that decision.

"Either way, he will be held responsible...and his legacy will reflect that choice, which he'll need to make, sooner rather than later."

Latest comments

Loading next article…
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.