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Dennis Gartman: This is when I’ll buy China stocks

China's Shanghai Composite plunged 6.5 percent Thursday in the worst selloff in four months, but widely followed investor Dennis Gartman isn't worried.

While he's not a yet a buyer at these levels, he said his interest is certainly "piqued" because he is bullish on the country's prospects.

"Give prices another 3, 4, 5 percent on the downside, take me back close to the upward sloping trend line and, you betcha, I'll be a buyer," the founder, editor and publisher of "The Gartman Letter" said Thursday in an interview with CNBC's "Closing Bell."

"I think things are changing in China for the better, not the worse."

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Before the recent selloff, China's stock markets had been soaring thanks to economic stimulus by the government, including interest rate cuts and a reduction in the amount of reserves commercial banks are required to hold.

That caused one market pro to warn earlier this week that the fundamentals don't support the market right now.

"The fundamentals always win out at the end. What you have in China at the moment are very deep, structural problems that cannot be solved simply by reducing interest rates by 25 basis points," said Simon Male, head of Asian equities at Auerbach Grayson, in an interview Tuesday with "Closing Bell."

While the booming market has led to some talk of a bubble, Gartman isn't convinced.

"Everybody wants to call it a bubble. I think this is just a change in the psychology after having a bit of a bull market move. This is a very healthy correction. I don't think you want to sell it at all," he said.

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He pointed to China President Xi Jinping's move to make sure the economy changes from one that is export driven to consumer driven.

"I think they are doing all of the right things."