By Dave Goodboy
NEW YORK ( StreetAuthority) -- I love buying when there is blood in the streets.
When negativity hits its apex and everyone is down on a particular stock, sector or economy, it's often a sign it's time to buy.
This bottom-fishing style of investing is not easy psychologically. In fact, it's very difficult to go against the crowd. But this is exactly why it works. In the annals of the stock market, buying when things appear worst has proven itself time and again.This is particularly true when it comes to large global economies. Recently, investors have been besieged by negative economic news out of China. Slowing growth, weak property markets and internal strife have rocked the world's second-largest economy so far in 2012. These items, combined with several high-profile corporate scandals, have worked together to send the once high-flying Chinese stock market skidding lower. But even with all of these issues, China remains a rapidly growing economy with a very bright future. In fact, investment opportunities in China are not nearly over and the recent downturn just created a nice buying opportunity for investors who want to make money on China's growth. Here are three reasons why China is still a good investment... 1. Economic liberalization and political reform This fall, a political transition is slated to take place with Vice President Xi Jinping to assume power from President Hu Jintao. Jinping is a strong proponent of what is called Chinese socialism. This twist on the Socialist manifesto favors economic liberalization and an aggressive political reform. In other words, he believes in the free market, at least as much as a member of his party can. In addition, the Chinese central bank is taking market positive actions to counteract the slowing economy. For instance, the bank recently lowered interest rates twice within the same month. This type of economic stimulus should help reverse the slowdown. 2. Chinese economy still in growth mode Next, although economic growth is slowing, it's still at 8.1% year-over-year. Compared with the European economies or even the United States, this is impressive growth. China has a huge population hungry for advancement. Internet usage, for example, is double that of the United States, while Chinese consumption has superseded that of Japan. Remember, this remains a nation of super-low average wages. Imagine what is going to happen with the economy when wages eventually catch up with more-developed nations.