financials jump on earnings forecasts China A-shares end morning higher as financials jump on earnings forecasts 01.07.08, 11:12 PM ET SHANGHAI (XFN-ASIA) - China A-shares finished the morning session higher as financials gained after China Merchants Bank and CITIC Securities projected strong earnings growth for 2007. The benchmark Shanghai Composite Index ended the morning up 77.07 points or 1.43 pct at 5,470.41. The Shanghai A-share Index rose 81.51 points to 5,741.55, while the Shenzhen A-share Index was up 7.07 points at 1,614.49. The FTSE/Xinhua China A 50 Index was up 479.77 points at 21,327.32 and the FTSE/Xinhua China A 200 Index was up 214.25 points at 15,844.04. China Merchants Bank jumped 5 pct to 41.05 yuan after announcing that its 2007 net profit is expected to have risen about 110 pct from a year earlier. CITIC Securities Co Ltd (SHA 600030) gained 5.55 pct to 95.55 yuan after projecting net profit growth of over 400 pct for 2007. (1 usd = 7.3 yuan) http://www.forbes.com/markets/feeds/afx/2008/01/07/afx4504355.html
Reverse head and shoulders...http://stocks.us.reuters.com/stocks/charts.asp?symbol=8306.T&WTmodLOC=L2-LeftNav-10-Charts
It looks like tracing out a classic Elliot wave .. 1- 5 down.. we are in middle of expanded triangle Wave 4 with the downside Wave 5 at a Fibnacci level of 6.80. we will see. I think their will be a lot more downside sentiment for the Banking Index.