Chinese consumer trends could deliver a short-term gain of over 200%

This Trend Could Benefit Alibaba and Short-Term Traders ...READ MORE
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This Trend Could Benefit Alibaba and Short-Term Traders

Luxury goods are often sold in stores that look decidedly different from the stores that sell at everyday low prices. This is a deliberate choice by the companies that make luxury goods. And their choices extend to the online sales model as well.

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A recent article in The Wall Street Journal noted, "Despite being fussy about their image, luxury brands are teaming up with mass-market Chinese e-commerce giants Alibaba and JD.com. Don't expect them to act as friendly toward Amazon.

Luxury brands have mostly steered clear of Jeff Bezos' internet sites despite their growing clout with consumers. LVMH 's finance chief said in 2016 that "the existing business of Amazon doesn't fit with luxury, full stop."

Most brands don't like the idea of being listed alongside less glamorous goods such as secondhand books and cleaning fluid.

Yet they are warming to Alibaba and JD.com. Valentino, Bottega Veneta and Burberry are all available on the Luxury Pavilion section of Alibaba's Tmall website, and participation is growing."

This creates a potential short-term trading opportunity, as we explain in our latest article, and it could even highlight a possible long term investment opportunity.

In the article, we focus on the short term and share a strategy and the details of the trade using real, recent market data, to highlight the extraordinary rewards that are available to individual investors with this strategy.

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