China market threat?
|Is the Chinese Economy a major threat to the worlds markets?
Is the Evergrande Crisis just the beginning?
Is there more to come?
For the purpose of this post I want to alert you to an important signal that is flashing on our screens.
Here is the chart of the Shanghai Composite.
One of the clearest indicators is our Profit Finding Oracle Histogram. This alerts us to forthcoming trend changes. These are shown as histograms below the chart. Where they spike, a trend change is likely. Most importantly these are predictive - they are known in advance. See the circled spikes and see how they align with trend changes - green and blue circles.
Our predictive system is flagging a major spike right now - See point "A" marked on the chart and the purple arrows. It is also the biggest spike we are seeing to date.
Be on alert for a potential significant trend change over the next few weeks.
We use smaller cycles to fine tune time windows.
You can see a future turn point forming in 2022 to the bottom right of the graph.
Our system also uses geometry. Those familiar with Andrew Pitchforks will see that a significant target level is being tested.
We never know what the markets will do but there is sufficient warning here to prioritize the protection of existing positions.
There is a significant threat of reversal in this country.
The world is interconnected. Copper is also showing big cycles coming together.
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