The top 300 A shares traded on these two exchanges make up this free-float weighted index. Like other Chinese ones it is trading well below 2015’s high, volume now a sixth of what it was then and historical volatility less than half that at peak. The bounce from March’s low (in turn the lowest level since December 2014) appears to be running out of steam – even though momentum is only just neutral rather than bearish. Last week’s candle was capped at the Fibonacci 38 per cent retracement resistance point and the week before that by long-term trend line resistance. Expect a slow drift back towards the psychological 3,000, then probably March’s low at 2,820.