📈 SigmaTrader Blog

The $ FXI - China Large-Cap ETF is on the verge of an important technical breakout after forming a wedge pattern that has lasted for over four months. But the big question remains: Will the breakout happen to the upside or the downside? While no one can predict market moves with absolute certainty, the current state of China's market and economy over the last few years provides a hint. Given recent trends, it seems that the risk-to-reward ratio favors an upward breakout. If the price surges upward, the potential gains could be significant. Look China Index below, more than -55% dropped lastly: On the other hand, if the ETF breaks downward, the downside risk appears limited, with a low likelihood of substantial losses. It’s important to remember that this analysis is based on our personal strategy and investments over the last few days. While we expect the wedge pattern to resolve soon, this is not financial advice. Always do your own research and consult with a financial professi...

Chinese ADRs (American Depositary Receipts) are seeing a strong upward movement in premarket trading today, capturing the attention of investors. This positive momentum is largely driven by significant developments surrounding two major Chinese companies: Alibaba and Bilibili . Alibaba’s Strategic Shift: Opening Doors to Mainland Investors Alibaba is making headlines with its latest strategic move to change its listing status on the Hong Kong Stock Exchange. According to a report from the South China Morning Post, this adjustment will make Alibaba's shares eligible for trading by the 220 million investors in mainland China through the Stock Connect program. The move is still pending approval, but if it goes through, it is expected to significantly boost Alibaba’s trading volume and liquidity. This would be a major step in fulfilling a long-standing goal of allowing domestic Chinese investors to share in the capital gains of one of the country’s most prominent tech giants. The imp...