CN50 trade ideas
CN50 H4 SHORT PRICE ACTION FORECAST - UPDATE-After three days with the position placed, the price finally is moving downwards. Price action reached a level where I usually close half of the position running and move the S/L to BE.
To what is known as a "risk-free" trade.
Will keep a close look to find a better place to trail de S/L. I will keep the comments as a trading update.
CN50 H4 SHORT PRICE ACTION FORECASTCHINA A50 found rejection from a critical resistance level from the ascending channel. Price action making a tweezer top candle. MACD is showing diminished bullish momentum, together with a clear divergence for confluence on the bearish bias.
Price in consolidation.
The order:
Type: sell-stop.
S/L: 20 pips - R:R | 1:2 -
T/P: aiming to the next supply zone + ascending channel support
What colour is your parachute ?Read article here
When compared to YINN , you may think that it does not move as high as CN50 from the look on the chart. Please note that this is leveraged ETF, which is a 3x multiplier on the bull side.
YINN is suitable for those who can tolerate a higher amount of risks and this can be used sparingly for short term trades. Currently, the US-CHINA tension is rising so if CN50 falls, so will YINN as well. And that is 3x effect, make sure you can stomach it before attempting.
You have been forewarned. When trading, always understand the risks first, not the rewards as the latter can be so tempting (that is what the brokers have to do to earn your money) that you forgot about the risks. It is good to be optimistic, confident and getting into action but do it slowly not abruptly.
Time to go all in for China A shares ?Read positive news here and here
I am of the opinion dips are for further accumulation as I am bullish on China story for the long term.
But I won't recommend going all in or show hands with China A shares. There are still many unknown factors in the market , Q2 GDP data, unemployment in China, business activities , US-China trade war, Huawei saga, investigation of China on independent Covid-19 virus spread, etc.
So, do diversify your risks , calculate your position sizing, always have a Stop Loss and manage your positions, not taking for granted things will go the way you want. Have contingencies.
Of course, the longer your time frame of holding , the less concerned you are with the daily volatility.
Potential Buy on China50 IndexWhat we saw was price breaking a short downtrend with a lot of aggression
After the break we came across a solid supply zone which we couldnt overcome because the bullish momentum on the zone was really high, so price rallied back down to our previous demand zone where it shot from
Price has been failing to break this zone, which can be an indication that theres a reasonable amount of bullish pressure being injected from this zone, and we can anticipate a move to the upside
Be cautious also of the fact that if the zone can break then we can anticipated strong bearish moment, so protect your account with a tight SL
$FXI China Correction Continuation? Downtrend channel resistance here. Downside target 20%. This is for informational purposes only and does not constitute as investment advice. Trade at your own risk
CN50 sellsTechnicals:
D1 downtrend, bearish gartley, at resistance
H4 pinbar
Possible head and shoulders formation on D1 over the next few weeks
CHINA50 Potential Bearish Movement - setup formingCHINA50 Potential Bearish Movement - setup forming
we are waiting for a momentum candle close below the last swing that touches the lower blue trendline to sell this one
Reason:
1- Regular Bearish Divergence on MACD (in red)
2- Objective Channel pattern (in blue)
3- Resistance / Supply zone from Daily
Three confluences are enough to consider Selling CHINA50, after a momentum candle close below the last swing touching the lower blue trendline (in gray)
*meanwhile, this pair is overall bullish until the sell setup is activated
GET READY! China 50 in trouble - 2nd wave of virus! 😨😲You've been told! Get ready. There is trouble in this heading south more likely, than not!
Reliable sources in non-mainstream media are picking up the second wave of a virus outbreak in China. This is not fake news!
The re-opening (or partial re-opening) was actually fake news. Facilities were actually being built to accommodate more sick and dying people.
Disclaimers : This is not advice or encouragement to trade securities. No predictions and no guarantees supplied. Any previous advantageous performance shown in other scenarios, is not indicative of future performance. If you make decisions based on opinion expressed here or on my profile, and you lose your money, kindly sue yourself.
cn50 overnight change vs genco opening priceover the last moth, it seems that genco opens according to the cn5's change of price between 4:00 pm when market close and 9:30 am when they open. If cn50 at 9:30 am is higher than at 4:00 pm the earlier day, genco opens up. If it is lower, genco down... usually, although sometimes it is not the case
Flush It AlreadyChinese stock markets still open today. Lots of indecision at this level but looks bearish to me. Trade the breakout either way.
Confused ?Lost ? Dizzy ? What to do now ?In this 1H chart, you have 2 gaps , one on top and one below; both awaiting to be filled up. The question is WHEN ? I also dunno, haha.
Next, you see the price action is stuck in a sideway move with buy and sell opportunities , if you know how to spot it and trade it. Congrats if you are good at it as you can earn both ways !
So, the million dollar question is - are we to buy or sell now ?
I say wait for the price to break up or break down before making a decision though I am more inclined to breaking up. Why ? Day and 4H chart illustrates that it has broken out of the bearish trend line and China PMI data released yesterday was positive.
CN50 Bullish Continuation!China commerce ministry says production of auto, auto parts have fully resumed! This is china's way of saying that they have defeated the virus and we have moved on, so expect that to be reflected in the data.
CN50 sellsFundamentals:
Economic slowdown in China in view of COVID19
Technicals:
D1 downtrend, breakout of support, price approaching new resistance
