China Market Money Making Machine Halted
It’s about the simplest a trading rule can get, buy when the market opens, sell when it closes. Repeat. This was the trading strategy implemented on the Shanghai market, and was a great way to make money. When applied to the Shanghai composite index, this rule generated a 23% return since July 8, compared to an 8% yield on a buy and hold approach. A worthy exercise. Applying this to individual shares, such as PetroChina Co yields a whopping 43%, versus a buy and hold of 0.5%.
