52-week Low in Shanghai Composite Bodes Bearish
The Shanghai Composite ($SSEC) peaked in November 2010 and hit a new 52-week low in August 2011. As the S&P 500 moved to a new high in April-May 2011, the index formed a lower high in mid April. A support break and 52-week low followed in the next few months. Relative weakness and a 52-week low in this key index are bearish for global equities.

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