After a big collapse in share price this summer, China Vanke get its feets and stablize in share prices. It is not expected to rise rapidly. Rather than that, it will move within the Bollignet Bands. It needs some time to establsih an upward trend.
Well, it has already popped. Evergrande is down 90%+ and Country Garden is almost down 60% from 2018 highs and testing 7.36 support.
A simple 1:1 extension of the 2018 drop would mean sub-14HKD prices are not too far away... watch for a break of local support at 19.20 for another 30% drop.
If the price action in the chart reflects correctly, then this could be the bottom for the China property sector. The peak happened a year ago in March 2021 where the price was highest at 34.56.
The past weeks candles tell me there is a tug of war between the buyers and sellers. $22 seems to be a pretty strong resistance so we need to break above that for a...
In a big country like China, it is incorrect to say property market is up or down in any single year. Due to its large population, when highly dense cities like Beijing , Shanghai and Guangzhou (Tier 1 cities) are suffering from loss of sales, rental, etc, other smaller cities , especially those in Tier 3 -4 can be booming.
Now, we may have an opportunity to...
HKEX:2202
China Vanke has been in a downtrend since January 2018, peaked at $42.40 on 16 January 2018.
Recent gapped up 13 September 2018, with current support at $25.00.
Looking at the triangle, the point coincides with the support at $25.00 which then becomes our decision point for Long or Short.
Assuming it is moving up, using Fibonacci 23.6% gets us to...
