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Shanghai is pressing up against the top of the flag pattern. At the same time the China ETF (FXI) and Hang Seng index are facing falling resistance too.
Game Plan…If long I would harvest. If very aggressive, I would become an owner of FXP (2x Inverse ETF) with a stop on an upside breakout.
Bob…a break “UP” from the flag pattern would be bullish, if it happens. Right now it is up against resistance, no breakout has taken place yet. So with such key resistance at hand the POWER OF THE PATTERN would suggest that investors attempt to “score on defense” in this arena, by owning FXP.
Chris,
I thought you said recently a break from a flag pattern like the Shanghai’s is usually bullish. Am I mixing things up?
Awsome, thanks. I was waiting for this update!