The following monthly chart of the Shanghai composite shows the market testing a long term up trend line drawn from the 1994 and 2005 lows. Click on chart for an expanded version.
Zooming in to the period since mid 2007 shows the current September candle to be a Spinning Top, an indication of indecision, meaning that the market is at a key inflection point. Markets can always go either way, but at this time, given the Spinning Top and the trend line test, the next trending move in the Shanghai Composite is likely to be indicated by whether it breaks the September high or the September low.
Zooming in still further to the daily chart shows a clear down trend line. A break upwards through the trend line and then through the September high is required to signal a resumption of the long term up trend.