Rising wedges are supposed to be bearish, but EEM have pretty bullish look on this chart. The breakout today could be bull trap, but if we stay above the current level (ATH from April'19), the breakout would be confirmed. Looking at the chart there isn't much headroom to grow — the last 52W high is this year January's 46 level.
I'm long option call here and...
- Value in short term upward trend versus growth
- Cyclical stocks rolling over versus Defensive stocks
- S&P Low Volatility ETFs starting to outperform the S&P 500 on a relative basis
- US Small Caps (IWM) neutral vs US Large Caps (SPY)
- Emerging Market equities neutral vs Developed Market Equities
- Safe-Havens Surging
Emerging Markets ETF 5 wave impulse is also carving out a wave (3) top. We are looking or the immediate wave (5) to fail into 44-46 level setting up for a wave (4) consolidation that would set the tone for EEM into Oct 20’
As COVID-19 Cases start to ease globally, markets are responding with a breakout higher. EEM (MSCI World Index ETF) has recently broken out above its $41 resistance level and consolidating today, providing a good risk/reward for a long position. With a Weekly Chart that has broken above its channel resistance and Daily Chart breaking higher, we are targeting $44...
Earlier I posted maps for EEM consolidation (see related).
This last sharp move makes me thinking of a completion of the correction.
Then we got the contracting flat WXY.
Triangle could be the next alternative ABCDE.
Target will be at 75 then.
This chart forms part of a larger research note. None of the information posted here (TV) should be considered financial advice.
On a relative basis, safe-havens have out-performed risk assets for the past week. This is highlighted by the relative chart, using our custom Global Safe-Haven Index (SHIX) versus the S&P500 E-mini Futures (as a wide proxy for risk...
Price action of the last few weeks has really opened up all sorts of possibilities regarding chart patterns going forward. Is this count possible? It suggests that while there is still room for further decline in this index this could be followed by a pretty decent uptrend.
If you're looking to get short the equities market, EEM may be a good place to start. Emerging Markets are testing the previous support trend line. This should now act as resistance. It's worth waiting to see if this hammer candle gets follow through or if it turns into a Hanging Man.