China Single-Stock Long Opportunities Update
CJJD, one of the 12 names from our chart dump 10 days ago, is now in the +90% club with today’s gains. Just wanted to show those who care a quick snapshot of what all 12 stocks from that chart…...
Framework for Assessing Progress of Late June’s Pivot Low in Chinese Equities
On 7/2 we had a post suggesting Chinese equities, in contrast to Barron’s call for a renewed crash/credit crisis, were likely nearing a major low. That call was based on a very simple (and thus elegant) analysis that showed the…...
Is an 85%, Single-Week Gain Good Enough?
We originally laid out on 7/2, or immediately after Barron’s 6/24 front page article calling for a crash/renewed credit crisis in the country, a bullish post on China. In that post we highlighted the fact that the SSEC’s price action over…...
This Solar Stock Poised for a Rally?
In the chart below I plot LDK. It’s both solar and China-based, two groups we’ve favored for quite awhile now. It’s been trapped in a consolidation pattern formed b/t lines (1) and (2) for the past three years. At the…...
Government Officials in this Foreign Industry Pressing for Consolidation Following Scares in Recent Years; Related Stocks Could Benefit
Remember the scare over contaminated Chinese dairy from 2008? Lots of children falling ill, some actually dying. Regardless, all bad news. Stocks like SYUT, a U.S.-listed, Chinese dairy producer highlight this bad news: peak to trough it declined by ~90%…
Shenzhen +22% and Shanghai +12% Since Barron’s 6/24 Call for a Chinese Credit Crisis; Why Won’t China Just Crash on Cue?
A-shares traded on the Shenzhen Stock Exhange and the SSEC are up 22% and 12%, respectively, since Barron’s penned a cover story on 6/24 calling for a renewed credit crisis. Hmm. Something seems amiss here. If you recall, we wrote…...
Analog Update
The SPX has rallied to 1,680 today, reaching our upside price target objective, which was the 61.8% retracement level formed b/t the 8/5 highs and 8/28 lows, respectively. Though it has crept above this level somewhat, this isn’t all that…...
Spread Trade Idea in Global Equities
As you know, I’ve gotten structurally bearish over the past two weeks. Even if I’m wrong, I’m of the opinion that any U.S. equity upside is going to be more limited from current levels, likely no higher than Dow 16,250…...
+32% and +22%, Respectively, in Two Weeks
We will continue to belabor this point over and over: You can choose to waste your time reading sententious bloggers/economists who drop wisdom manna-crumbs from on high about how money is created, blah, blah, blah, or, you can choose to…...
China Update
Last night Chinese Premier Li Keqiang made some comments re: future GDP growth, suggesting the country will seek to maintain a level of at least 7%. This was one of the more unequivocal and clear statements anybody in a position of…...