Will China's Shanghai Index Reach Escape Velocity?

China's Shanghai Index is up against a 'rock and a hard place,' namely a long-term downtrend line, as shown on the following monthly chart of SSEC.

We'll see if it reaches escape velocity should it break out and hold above this trendline...or simply retreat.

After all, it is trading in it's "froth zone," as I described in my last SSEC post...and, historically, it's rare that it remains there very long.
 

Monthly chart of SSEC


More By This Author:

SPX: The Sky's The Limit (50 Reasons Why)
Gold: The Next Parabolic Bubble?
Will China's Shanghai Index Get Blown Out Of Its "Froth," Again?

Disclaimer: All of my posts (and charts) contain solely my own technical analyses/opinions/observations (which may contain errors or omissions) of a variety of markets and are ...

more
How did you like this article? Let us know so we can better customize your reading experience.

Comments

Leave a comment to automatically be entered into our contest to win a free Echo Show.