The Bear is here...

The selling pressure in Asia market continue today after experienced a technical rebound yesterday.

At yesterday's trading session, Hang Seng Index futures rebounded to 19647, the highest of the week before broke below the psychological level 19000 this morning.

Technically speaking, the Hong Kong and Japan market is now in bear market. A bear market is defined as a price declined of 20 percent or more over at least 2 months of period or from the peak of the price.

Looking at Nikkei 225, today's closing at 16416.19, a decline of 21.65 percent from the peak since last August. Shanghai Composite Index ended at 2976.52, 42.50 percent slump from June 2015.

Today, the Hang Seng Index futures opened gap down 341 points at 19280. Market dived very quickly in the morning breaking below 19000, marked the low for more than 3.5 years. The index futures ranged between 18762-19343 (581) for the day. At the end of the closing, futures ended at 18847 (-774), cash market finished at 18886.30 (-749.51), down 3.8 percent. The closing for Hang Seng Index is a drop of 33.9 percent from last year's peak.

The market is on heavy diarrhea. There is no prescriptions from any politicians or any policy yet. During the stockmarket crash in 2008, we have Quantitative Easing to stop the diarrhea. But this time, what would that be? While there is no prescriptions available yet, we think the best solution is eat healthy and stay hydrated. Which means, while there is risk and opportunities in the wild swing market, take the calculated risk, manage the risk and always protect the profit and capital.