Auguraltrader

China ETF GXC - the music ain't over

AMEX:GXC   SPDR S&P China ETF
Recently, the China market had dived on regulatory action over the past couple of weeks. It hit a low point way out of range, and then bounced back technically. And the past week saw a range bound attempt to break out. This attempt failed to extend the rally higher out of the range, but instead fell down to the range support. In the process, it left a gap support and held above this in a range.

The weekly chart has a rather unique candlestick pattern, where a long tailed hammer body is engulfed by a down candle. This is ominously bearish .
The Daily chart is no better, with a failed breakout, and a gamp down to follow through, ending the week at support with ailing technicals.

A revisit to the last low is due...
More downside incoming!