MEGL, CNET, CPOP, TAOP, HKD, CPHI, GLG, (See desc. for larger list) – Singles Day in China

This is a HUGE event for small cap Chinese stocks. Even companies that have no earthly businesses making more money on Singles Day can see sudden volume surges as traders try to find the next big runner. In past years, many small cap Chinese companies have seen major moves. Ticker symbols can change often in this sector, but companies to keep an eye on include: HKD, MEGL, ONFO, YVR, TIRX, LLL, CREG, LYL, SISI, AEHL, OCFT, MOHO, BHAT, TAOP, CPOP, CPHI, DUO, WEI, METX, GLG, JFIN, APWC, CPOP, GLG etc.

The Runup Traders will want to look at this right at the start of November if not just a little prior.  They will favor tickers that are the most oversold in the low-float, Chinese companies and make entries using the Williams %R (over -50), the MACD (Bullish curl, cross, or spread), and the supplemental PPS, TTMScalper/Trend/Wave, RandomWalk Index, VWAP:WMA, etc.  They will also monitor those low float Chinese tickers daily and if any have a bad news reaction or sudden drop due to the common low float manipulation you tend to see, they will probably react quickly.  China Singles Day is a huge event, but usually Social Media is a little slow on the Runup side, and you start to see people talking about these companies and this event in the days leading up to it.  So knowing about it a week early is a great strategy builder.  Here is the thing to remember though, long term INVESTORS know all about Singles Day.  It happens every year.  So all the hype and hoopla before and during the event doesn’t change the forecasts or bottom line for any of the companies.  Therefor, the “Buy the Rumor, Sell the News” group often makes out with the best returns.

The Event Traders will probably not be looking to buy any of these tickers on the 10th and sell the 11th, since there is almost no chance that there will be real, unexpected, good news on the day of Singles Day.  And the Runup crew will be looking at selling every spike, so coming in late on a trade in the Low Float China sector could be a big mistake.

The Afterglow Traders have nothing here.  There may be one company that announces crazy sales of some product, but that is impossible to predict.  All companies who sell a product on Singles Day are looking at more sales, that’s what happens when 1 bullion people all go spend $100+ on presents for people all in the same day.  So the period between Singles Day and the weeks AFTER are not likely to be bullish (holding all else equal).