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Q: How do you avoid a pickpocket thief from robbing you in China?
Avoid putting your wallet or key in a loose pocket. Also you can attach your key to a lanyard.
The same as you would in any other country: Put your hands in your pocket.
mattaya:
you would have to keep your hands in your pocket all the time. it's inconvenient
kchur:
Oh, my god, a minor inconvenience to prevent form being robbed. HMMM HOW SHOULD I CHOOSE???
Don't put anything you don't want stolen in your pocket.
Or carry a purse and beat him with it.
Let's first get one thing clear, if you are a foreigner in China, sooner or later you will get hit by a pickpocket thief, and they are good !.
So, minimize losses. Never carry passport, important papers, bulk of money, etc on any pockets, I use a waist waterproof money belt. No, if I need anything from inside money belt, I go into a stall on a WC and there remove it form the money belt. I only carry around 30 yuan or so in my pockets, and I do spread it out into two or three pockets.
Pockets with a buttton to hold them close are not thief proof, button is easily cut off.
Sometimes I do place money on bottom of pocket, and on top place two or three facial tissues, just to deceive pickpocket.
They do not work alone, one will distract you, another may bump into you and even a third will use chopsticks to remove your belongings.
Like I said at the beginning, you can not fully stop them, just prevent having high losses by being wise and prepared, like a good boy scout.
Before i got to china i sold all my pockets so no probs!!!
Situtational awarness.... just pay attention to your surrounds and to the people around you. The more people notice that you are paying attention the less likely they will want to put forth the extra effort when easier pray is at hand.
A combination of most things that have been said above. I carry a cheap wallet with a small amount of money in it in my back pocket and so my guess is that it will be the primary target. I try to be aware as much as I can to avoid being hit but I use that wallet as if one day I expect to be hit by theives and the loss of less than 100Y will not be a major issue. As yet I have not been a target. If I need to carry larger amounts I use a money belt if I am on my own but is with my partner she will always carry the money.
I have my hand on my purse at all times. I only put my phone in my pocket, which is cheap, so if I lost it it wouldn't be that bad. All money is in a wallet in my purse. If it's crowded, I put my purse on cross-ways, so the strap is on one side of my body, and the purse itself on the other side. My purse is also made in such a way, that there are 2 pockets in the front. If you cut the front of the purse, you won't get to the wallet and other things in the giant pocket in the back. I haven't had any problems. 
Personally I like to have them try to rob me, so I can F them up.
But here are a few hints. Put a comb in the middle fold of your wallet..teeth up..in the middle of the fold. Insert into wallet. Put wallet into pocket..It makes it hard to pull out.
Tie all open pockets with a leather string..it makes it hard to get things out when paying (time consuming) but equally hard for the pickpockets.
I learned that in eastern EU..lots of lil gypsy kids would surround you, going into every pocket. If pockets are tied and you start spinning (like a tai chi wheel) it frustrates them, they cant get anything.
If you catch a guy in your pocket grab him (chin na technique)!
Depending upon how much juice and pull you have ..do the following:
1.) Teacher...with very little pull, hold him tight and scream like a banshee until a policeman arrives.
2.) If you have some juice and "gummit" pull..be quiet about it, look around and if not observed, drag him into an alley and snap his neck like a dry twig. Or beat him into the hospital, break some bones, especailly the fingers so he cant pickpocket again anytime soon, or give him a mild beating and a lecture.. or just give him a lecture for you bleeding heart types....whatever floats your boat and level of escalation.
In my last city, I learnt a bit of Kung-fu, and was connected with the local school. My idea was - go out with a wallet which was attached to a loud, noise maker (whistle, buzzer, alarm, or whatever). Get picked. Have my friends (who are about 10m behind me) catch the thief, take his photo, beat him up, break his fingers (and maybe his legs as well - a lot harder to pick pockets that way)... then, make posters and put them all around the city warning everyone about him...
