Chart of the day: China A50
|Chinese Markets Look Dangerously Bearish
No matter how much China is trying to support its markets, whether it is monetary or fiscal stimulus measures in recent months, the equity markets have been very weak. Today's EDGE chart of the Day is the China A50, which is a stock market index by FTSE which illustrates how weak some of the top A share stocks are in the Shanghai and Shenzhen exchanges are. We are nearing the lows of 2022, however the RSI is oversold. If you look at the lower pane, you will also notice that the RSI has been (and could get) much more oversold on any technical breakdown. Not pictured is the price in copper, which has a failed rally above the 200dma along with the AUDUSD with similar price action. New lows in this index may also attract unwanted attention to the price of copper and the Aussie Dollar.
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