“Recent declines have already priced in investors’ more pessimistic view about economic growth,” said Li Jun, a strategist at Central China Securities Co, in the Bloomberg story. “Given that stocks are still not expensive, a rebound is justified.”
DeMark, who specializes in turning points in markets, also correctly predicted a retreat in Chinese stocks last month. We “are identifying a low-risk entry zone just beneath today’s low of the Shanghai Composite which should be a bottom prior to the resumption of the advance,” DeMark said this week, according to the report.
FXI, the China, has fallen below its 200-day exponential moving average.
iShares FTSE China 25
