NFTRH+; This global ETF breaks bullish, target established

If we are resuming the Q4-Q1 broad rally theme (and it looks that way) in the face of the US dollar in correction, then the Emerging Markets are a prime target for out-performance, as they were relatively impaired by the formerly strong USD.

I increased my EEM position this morning and wanted to show you the daily chart. Not only is EEM out-performing SPX/SPY (ref. EM vs. US in NFTRH 739), it is also making a move in nominal terms.

When a stock, ETF, index breaks above the 200 day average we then ask that it hold that break. If today’s follow through to last week’s pop holds up the measurement of the pattern is to 45, which would be logical with our view of a Q1 rally continuation.

Again, I am not raving about major new bull markets, but we are firming up on the potential for another several weeks to few months of rally on relief from the Fed hawk regime and the resulting weakening dollar.

emerging markets etf, EEM

A reminder that chart based NFTRH+ updates are technical trade setup ideas, which may not be revisited as the technical parameters are already noted. These updates are meant as a starting point for your further research if interested. I will not personally buy every item highlighted and will sometimes sell (ref. Trade Log) any item that I do buy below target (assuming I’ve not stopped out or sold for some other reason) as I often do. Also please be aware that I am not a fundamental stock analyst. Due diligence is your responsibility.


This Post Has 2 Comments

  1. Armen

    Gary, you have a bigger fish to fry :)

    1. Gary

      Hmmm, I wonder what those fried fish could be… :-)

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