The Chinese Stock Meltdown


Last week’s break in the China H Shares Market caught most by surprise and shock.

The meltdown of the market with it’s plunging prices was quick but presented a high profit potential for those who could anticipate and exit their long positions or sell into this falling market.


The fundamentals will be debated as to ‘why’ this happened, but, it’s been my mission on this website to deal with the ‘WHEN it will happen’ question.

To do this effectively requires very special tools and knowledge.

The Excalibur Method has remained a reliable tool of analysis to answer the question of ‘WHEN’ for years now (on both this website and our earlier website).

As you can see on the 15-minute chart for China H-Shares, Excalibur found a weak, balance pivot-point where both Price and Time were most vulnerable to a momentum ‘push’.

And, that’s just what happened.

This form of analysis must be accurate and not time dependent to be of most use to traders and investors.

In other words, the time frame for the bars or candlesticks, whether 5-minutes or 1-hour shouldn’t alter our results as what we’re pursuing is a fundamental mathematical truth and not a subjective one.

As long as our time periods are natural ones based on natural law, our conclusions should be valid.

In other words, we may state with confidence that, when it comes to price charts that:

ChinaH2Truth holds at all time levels.

To the left is the very same China H-Shares market but with one-hour bars instead of 15-minute ones as in the previous chart.

The results of the analysis are the same.

The same time and price pivot point was obtained, and, in advance of the market reaching it!

This is just the latest example out of hundreds these last 5 years.

The volatile times we’re in now really require an extra edge when it comes to analysis and knowing IN ADVANCE where critical price points are located.

I encourage those who seek to thrive in these markets to consider The Excalibur Method.  This method of determining optimum investment and exit times for the markets will set you on a new and most satisfying trading path of success.

For a limited time, those who purchase The Excalibur Method will receive a valuable and very special additional technique that will multiply your market insights immensely!

To learn more, you’ll need to inquire by e-mail by clicking here.

Thank you for taking the time to read this post. We’ll be examining some other exciting markets in the days ahead. – George