TIP!! – How To Make Easy Money On Chinese Stock Market – Everyday

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Sep 02 2015
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Technical analysis says the U.S. stock market is about to melt, thanks to China. Unlike fundamental studies, investors who believe in technical studies have everything to worry because of “Death Cross”. It seems the epidemic of bearish “death cross” is spreading and affecting every single market segment, even to those supposedly insulated from foreign factors.

US Russell 2000 Chart - Death Cross Formed - 2015

Take for example the Russell 2000 (Index: RUT), which represents small-capitalization stocks. A death cross has been formed, where it’s 50-day MA (Moving Average) crossing below the 200-day MA. The last time when the Russell 2000’s death cross happened on Sept 22, 2014, the index fell another 7.1% within the next 3-weeks.

US MidCap 400 Chart - Death Cross Formed - 2015

If you think this could be merely a coincidence, think again. A day before the death cross strikes Russell 2000 on Tuesday (yesterday), the same death cross appeared in the S&P MidCap 400 Index (Index: MID) on Monday. Interestingly, both death crosses on Russell 200 and MidCap 400 happen after a death cross attacked S&P 500 Index last Friday, not to mention one that appeared on Dow Jones on Aug 11.

US SP500 Chart - Death Cross Formed - 2015

There you have it: 4 (four) death crosses on Dow Jones Industrial Average, S&P 500, Russell 200 and MidCap 400. The one that has escaped, at least for now, the death cross is Nasdaq Composite which represents technology stocks. But if you’re a technical analysis supporter, you can see that a death cross is building and could be formed in the next two-to-three weeks. Apple Inc.’s death cross was already formed on Aug, 26.

US Nasdaq Chart - Death Cross About to Form - 2015

Not interested in technical charts and all the mumbo-jumbo about technical jargons? No problem, here’s an easy way to make money, if the trend continues. It seems for the past 5-days since Aug, 26, about 90 million Chinese individual investors, including students and fishmongers have been waiting for their “God of Prosperity” to arrive and give them money.

Make Money on China Stock Market Everyday - 5-Day Chart - Government Supporting

This Chinese God of Prosperity is none other than the state-back funds. And for the last 5-days at exactly 2 pm, they will start propping up the stock market. China’s SSE 50 Index of large-capitalization companies has rebounded by an average 6.4% in late trading from session lows for the last five days.


Essentially, when you see the market in the negative territory in the morning, rejoice and buy as much as you can; wait for the last 45-minutes and let the China national team supporting the market and voila – you sell and make money. As to which stocks to buy, you have to do your homework, dude.

China Women Military Parade

However, this tip on making easy money may not last. Whispers have it that the Chinese government is doing this in order to stabilize the stock market before a World War II victory parade on Thursday. Consider this as window dressing to make everything look “beautiful” while the government shows off its rising political and military power.


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