The question right now is whether we have bottomed short-term and obviously this is impossible to know but from the orange arrow in the we can see convergence so it is entirely plausible that we have but obviously this is still an assumption and we could see further downside with the 61.8 support of 40.82 being the next line of support. From the rainbow colored Fibonacci trend (Waves 2-4) derived levels I have a long-term target for completion of the fifth-wave of between the 0.618 - 1 levels which correspond to 53.3 to 60.2 per the title of this article.
Thanks for reading, please feel free to ask any questions, leave a comment, or debate me if you disagree.
Disclaimer: While I am a firm believer that markets are driven by alternating waves of optimism and pessimism or put short investor sentiment there are exceptions to every rule. The link between strength of the dollar and the performance of foreign currency based investments; by definition, is a serious factor that must be considered. Thus if you think the dollar is going to weaken EEM , VWO , and any investment vehicle denominated in foreign currencies should be a screaming buy and vice-versa.