China shares have been mired in a long downturn, caught between expectations low valuations would attract bargain hunting and fears the country faces a credit crisis, but some analysts see trading opportunities.
"No matter which way you go you're going to lose," Viktor Shvets, head of Asia strategy research at Macquarie, told CNBC Monday. "China is a Catch 22."
The performance of China's stock indexes certainly suggests investors have had the losing end for quite a while. The Shanghai Composite has shed more than 30 percent over the past five years, even as other regional markets have rallied solidly off lows touched during the global financial crisis.
China's markets have been undermined by slowing economic growth as well as concerns over bad debts and the shadow banking and property sectors.