On Friday I wrote about China stock market finally making it into wave 3. I have marked it as wave 2 down for all of last year and that remained correct even after multiple crisis. A higher bottom in wave 2 on worse news is classic Elliott wave behaviour and only confirms the view even more than otherwise. Most people are trained to think that if news is so bad China should crash to the depths of the earth. the way to look at it is see what the market is doing in context of the news and what it says about the wave count stand alone.
So most of Asia is more resilient suddenly. A chart of the Malaysian stock market below shows a clean pullback in wave 4 to the 40dema followed by a rally again.