SSEC Shanghai Index Weekly Chart; Overbot; Rising Wedge; Negative Divergence; Upper Band Violation; Price Extended

The SSEC, Shanghai Index, is topping-out with neggie d. China's new year's celebrations are over and it is time to begin working and trading again. The next 12 months are the Year of the Ox which means that the dirtbag CCP will lie for many weeks forward and perform crimes against humanity each day. The Year of the Ox also brings increased military tensions in the South China Sea and ushers in a new age of communistic sympathy in Western cultures. The Ox strives to spread bioterrorism around the world. The year begins and the China Flu continues.

The SSEC gains +0.6% overnight to 3675 so picture a candlestick under the red arrow at 3675. The CSI 300 fell.

The red rising wedge is ominous. The red lines show universal negative divergence across all chart indicators as price makes the new high. SSEC is out of gas. There was momentum into the holiday so there may be further choppiness at the elevated prices for a couple days but the chart says down for a multi-week slide lower.

At the end of 2018, you see the positive divergence set-up for the bottom call and voila, the SSEC pops nicely as expected and then goes parabolic into the early 2019 top. The red lines show the neggie d that creates the spankdown in April-May 2019. In the summer of 2019, there is possie d with the stochastics and oversold conditions that create a bounce but other indicators are weak and bleak so a lower price would be expected in the future, after the bounce, and it occurs in early 2020.

The late 2019 period into early 2020 tells a lot about central bankers. Price was falling down the rabbit hole. As of March of last year, the SSEC was toast. You see the drop in price and the red lines show weak and bleak indicators not one line is possie d. The SSEC is cooked; it is gonzo. But price bounces off the lower blue trend line. That tells you unequivocally that the PBOC (China's central bank) stepped in to save the day and prevent the catastrophic failure in the index a year ago.

If stock market or individual stock rallies are real, possie d will form showing that the shorts have exited and institutions are accumulating and the start of a healthy rally is likely. Forget all that quaint historical market stuff. We are now in the age of central bankers! Get down on your knees! Kneel and Praise the Power and Glory of these Modern-Day Money God's! Worship Them! The Fed, ECB, BOJ and PBOC are the four central banker horseman of the financial apocalypse.

Over the last year, the SSEC takes off higher on the PBOC's easy money offerings. The filthy CCP are trying to manage a path through 3000 give or take (blue channel). As always, the easy money parade gets out of hand and prices are a moonshot as the fireman toss cash and candy from the firetruck to the excited crowd below. The circus music is heard for miles 'round.

The upper band is violated so the middle band at 3407 and lower band at 3159 are in play. Keystone does not hold any China-associated plays long or short. Stay away from those tickers. You cannot trust the filthy communists (CCP). China is placing itself on a war footing so the US must get busy and do the same. This information is for educational and entertainment purposes only. Do not invest based on anything you read or view here. Consult your financial advisor before making any investment decision.

Note Added Sunday, 2/21/21: SSEC is at 3696 to begin the week. Neggie d on daily remains but price has some upside momo, probably a day or two of sideways chop and then the spankdown in daily time frame. SSEC jumps +6% last week so that momo will help maintain some sideways chop but the daily and weekly charts are topped out. Expect the downside to begin at anytime, and it may chop, but the top should be in before two weeks, then a multi-week down move begins.

Note Added Friday Morning, 2/26/21, at 6:05 AM EST: SSEC drops from 3732 to a low at 3532, -5.4%, in only four days.