A-shares are the most valuable mainstream assets

Here is a chart comparing the Nasdaq 100, Bitcoin, and the Shanghai Index, which is in a position to break out of its long-term downtrend line on a weekly basis. Once this long - term downtrend line breaks, it opens up a lot of upside.



The Nasdaq and Bitcoin have proven this logic in time.



Given the current state of global financial markets, the Fed's decision to let loose cannot last long, as we saw firsthand in 2008. The United States tried to shift the crisis with the SDRs of the dollar, but it did not work well for China. Because China has enough digestive capacity, complete industrial structure, and at the same time, China is the country with the best epidemic control. In a mechanism that can mobilize resources and allocate assets to a high degree, the ability to deal with crises is naturally strong.



If the US fails to avert the crisis, it may eventually catch fire, so the US financial market is in crisis, which is why Wall Street has not given up on the Chinese market, and more foreign investment is flowing to China, which is also confirmed.



As an emerging financial market, digital currency has made considerable development in the past two years, but its stability is very poor, let alone risk aversion. It is itself the greatest danger. A market that is threatened by policy and manipulated by individuals cannot become the first choice for mainstream money, if it does not collapse. While many of Wall Street's biggest firms are now playing the game, that doesn't mean the digital currency market is ready to compete with traditional financial markets. TULIPS, too, nearly upended European financial markets, but in the end they were nothing more than a fleeting event.



The future of digital currency is uncertain, but for now, at least, it won't be banned as a commodity by the government, but they could be suicidal if they try to touch the currency space. But as a commodity associated with crude oil, non-ferrous metals and gold, it is certainly not the original intention of the players behind Bitcoin, so the market is full of uncertainty.



Back to A shares, whether fundamentals, or technical, are full of temptation. First of all, the valuation of A-shares is still very low, while the quality of China's listed companies is constantly improving, and the entry of foreign capital brings fresh water, and also accelerates the standard governance. When the epidemic is uncertain, China is certainly the safest market, so the stock market, as an economic barometer, should feel the market changes the quickest.



From the technical analysis, this trend line once broken, A shares will open 5-10 years of slow bull trend. As for investment options, I'm a long-term believer in new energy and biomedicine.