From Jeff Clark, Editor, Stansberry Short Report:
It’s time to buy China.
At its low earlier this year, the Shanghai Stock Exchange Composite Index (the “SSEC”) was trading almost 50% below its June 2015 peak.
It suffered a 25% decline in January alone. That was enough of a move to push even the most optimistic China bulls into the bearish camp.
It’s hard to find anyone right now who has anything nice to say about Chinese stocks.
But I do…
China’s stock market is turning bullish. Take a look at this 16-month chart of the SSEC…
As you can see, the SSEC hit bottom when it closed at 2,655 on January 28. It bounced 10% from there and then came back down to re-test that bottom one month later, closing at 2,687 on February 29.
That “double-bottom” pattern occurred with positive divergence on the moving average convergence divergence (MACD)…