Yes. BTW, The gap is filled sort of. Not a bad place to start some long-term position.
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I am seeing some strong, large call activity (mostly buys) on KWEB, FXI. I will add some calls on KWEB. I already own a punch of FXI spreads and will convert them long options.
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Kweb looks like a mess day to day King. Nobody can make up their minds. Maybe wait till it hits $30 dollars again?
PDD and BABA still in a down trend. I would like to see the RSI at least flatten out or head up on the weekly. Maybe wait for at least 100 days of the new administration to see?
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I hear you. I am just looking at the option activity and not the charts. The call put ratio is so skewed with heavy call buying. Also, deep in the money puts are being sold, like $100, $120 puts, this is a strategy often traders use to get free money, to earn interest and when the stock moves up, they move almost $1 to $1 because the delta is near 1. Check out the option activity.
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I see it like this. Edit: I think I should give a reason behind my bearishness. When Trump takes office I think there will be a whole bunch of uneasiness with China and it will send the Chinese stocks down much lower. I could be wrong but that is what I am thinking and positioning my portfolio for.
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Of course that’s what makes the market. My thesis is, the initial euphoria, weak hands are washed out now, and the probability of Chinese government stepping up stimulus is relatively higher than they doing nothing. Before next administration comes in and slaps any tariff’s Chinese may want to support their economy, they may not wait to react is my expectation. Also, remember the already announced stimulus measures. Because your red line is another 10% down. I have volumes of trades where I waited for the best price and missed the trade completely. 
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I have volumes of trades where I jumped in to early.
two cats that sat on the hot stove… We are in risk-on world and a bull market. I am expecting USD to weaken after a great rally. Wishing you a good price, I will start here and I will join you if it gets there.
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Exactly, I would rather play it with single stock risk rather than the index. Look at PDD. It is trying to shape up and I have an alert on it. If it can break the line on volume I will get in. That 100 dollar line is a great way to play it but it needs to be on high volume. At least 40 percent plus. Would like to see 80
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The below is Citi’s chart. How it moved up without volume breaking out. I can show many such examples. High volume price breakout is good, but volume breakout is not required for the price trend to reverse.
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You will get the high volume breakout today.
It’s not a prediction if it is already happening.
Look at this King. They all look to be trading in lockstep.
Baba Daily
Baba MIN
P
PDD daily
PDD Min
Atat Daily
ATAT Min
I thought Atat was trading on it’s own but it looks like they are all trading in sync.
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At this point China stocks valuation are impacted by the overall economy and perception. Citi, who have significant Chinese business, the CEO said below in the 4Q opening remarks. So far whatever they announced is not unlocking the markets or value. If they are not coming up with further stimulus, then China stocks are dead. Individual performance is not going to life any share price because international investors perception is not going to be bullish.
China’s growth has been slower than expected but there is still the prospect of further stimulus. - Jane Fraser
I am not so sure about that. The Data center stocks look to be holding up. GDS, Vnet are just breaking out of stage 1 uptrend.
here’s the Catalyst for China we just got the biggest momentum thrust in the history of Chinese equities best week ever Best Day Ever best two-day period ever for Chinese equities this was at the end of September
but you’re not worried they gave a lot of it back?
no because we know from experience very consistently that these momentum thrusts very consistently happen at the beginning of bull markets not at the end which is why we’re buying this pullback in China
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- Big state-backed insurance firms are guided to raise the size and proportion of their investment in Chinese A-shares, and to allocate 30% of their newly generated premiums to buying stocks.
- Mutual funds are mandated to raise their holdings in mainland-listed shares by 10% annually, in terms of market valuation, for the next three years.
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Dollar is breaking, and we had Japan raise interest rates and hinting further hikes are coming, with CPI expected to be 2.5%, remember japan could not get any inflation and from 2000’s spend significant time under deflation… The last time JPY interest hike created serious sell-off that Japanese central bank walked back it. But this time I think they are not going to do that.
Expect some fireworks. Stay hedged and nimble.
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On my trading account last year, $BABA contributed to 15% of profits. 