HSI

I have added in the subwaves now because I believe this helps people to understand the movement of the chart so far.

Price action jumped up in 5 subwaves and fell short of the 200 Day MA before GDP figures came out today.

It appears as though his large beat on GDP was already factored in. GDP was expected to be 4.6% YoY growth but came in at 5.3% YoY, so a very large beat.

So now we are getting the ABC correction after 5 waves up, which I believe is Wave 2.

The pull back finished exactly on the 0.38 Fib today, which is not a surprise and this is still shallow.

I expect this to come down further to complete the pull back, between the 0.5 Fib and 0.618 Fib aligns with the channel line too.

There is no need to do anything now to your Chinese positions (not including $NIO in this)

Reuters had this to say today:

KEY POINTS:

• China's Q1 GDP growth of 5.3% y/y comfortably tops forecasts

• Growth uptick supported by raft of policy measures

• March retail sales, output data suggest momentum still soft

• Analysts say more stimulus needed to shore up demand

China's economy grew faster-than-expected in the first quarter, data showed on Tuesday, offering some relief to officials as they try to shore up growth in the face of protracted weakness in the property sector and mounting local government debt.

However, a raft of March indicators released alongside the GDP data - including property investment, retail sales and industrial output - showed that demand at home remains frail and is retarding overall momentum.

The government has unveiled a raft of fiscal and monetary policy measures in a bid to achieve what analysts have described as an ambitious 2024 GDP growth target of around 5%, noting that last year's growth rate of 5.2% was likely flattered by a rebound from a COVID-hit 2022.

Gross domestic product (GDP) grew 5.3% in January-March from the year earlier, data released by the National Bureau of Statistics showed, comfortably above analysts' expectations in a Reuters poll for a 4.6% increase and slightly faster than the 5.2% expansion in the previous three months.

"The strong first-quarter growth figure goes a long way in achieving China’s 'around 5%' target for the year," said Harry Murphy Cruise, economist at Moody’s Analytics.