Looking at the weekly chart, I think the downside from the current price is 20 dollars , ie if it falls to 60 dollars. However, with the Central Government promising to support the economy more with its policies, I believe the stock market will recover soon....
Therefore, I will add some each month for the long term. Please note that there is still possibilities of the price falling further down. But rather than trying to pick the bottom , I prefer to park some cash into this ETF as it has fallen quite a lot (probably China is the worst market after Russia now)
Investing in China is for the long haul. There are always proponents and opponents when talking about China. US for one will be constantly looking at ways to sanction China goods , technology ,etc. Not only that, they also want to reach out to other Asian allies to forge in the same battle with limited success. These Asian countries know too well the importance of China trade in their respective countries and following US steps blindly may not ends well for them.
I also spoke about how the Central Government will help the property market as it contributes almost 1/3 of their economy. Indeed, the recent measures help to boost up the shares of many property stocks. Next important issue is the COVID-19 relaxation which resulted in the recent protests.
Glad to see some relaxation and believe coming to the CNY next year, the government understand how important this festive season is to the millions of overseas Chinese working abroad and needing to come home to visit their loved ones.
Healthcare system is a sector that I pay close attention to in China as the potential is HUGE! From aging problems to many western drugs that wanting to penetrate China, the collaboration with TCM and expansion of hospital services, there are just so many areas to improve on as it gets more urbanised and the demand for healthcare is even greater !
This is a good time to invest in China slowly on the way up !
We need to see the magnitude of the first wave of Covid-19 now that the Government has relax the policies and more people are getting back to their normal lives. Travel will be a big business as pent up demand will drive sales for what's lost in the past 3 years. Not forgetting the upcoming festive seasons where millions of migrant workers will be coming home.
current price around 89 dollars is the resistance level which it was rejected twice, once in April and then in June this year. So, for those who wish to long this ETF, wait for the breakout first.
Current price level is crucial as we can see it has been supported historically several times with strong rally. The Government's meeting is also showing to the people that it has the resources and capabilities to resolve its problems.
Lol, you use news from the state run mouthpiece as a foundation of your thesis? The Chinese economy is going into recession, have you not looked at the numbers which have come out over the last 2 weeks? In a world where the CCP makes up numbers, even they could only massage them so much. Foreign capital is leaving (except for Ray Dalio, China's biggest cheerleader) and Goldman just downgraded their forecasts. I hope you have a tight stoploss.