It’s happening right in front of us — and yet, most people still don’t believe it.
Some are already on board, but the majority are stuck on the sidelines. And that’s exactly what I love about this setup.
Strength isn’t limited to a handful of names. The leaders are breaking out, animal spirits are moving, and even the laggards are starting to catch up.
This all fits into the bigger picture — for more than a year we’ve seen steady rotation building inside EM, and now that momentum is spilling over into China in a big way.
Even against the US, the relative trend is at a critical inflection point.
Here’s the Shanghai Composite $SSEC versus the S&P 500 $SPX over the past three decades:
This ratio is sitting right at major support.
If there’s ever been a time and place for China to start showing real leadership against the US, this is it.
Momentum even hit overbought conditions this year for the first time since 2020.
This isn’t about hoping China comes back. It’s already happening.
Breakouts are piling up.
And when the most hated stocks flip the script, they don’t just bounce — they rip.
With sentiment still buried, the fuel is there.
This trade is already paying off.
We’ve locked in profits on $BABA calls — still up over 230% on the rest.
$BIDU? We doubled down in August. Those calls have run as high as +325% and +840%.
And just last week we got long another big China tech name — it’s only starting to move.
