$EWZ $EWZS $BRZU $BZQ I'm expecting more pain ahead for EWZ, Brazil market etf. No rule that says it's going to drop from here but I will be much more interested in going long if it drops to that lower trend. I'll be patient on this. Blue line is USOIL.
Para los amantes de los patrones gráficos, acá hay un caso muy concreto de una figura cuya resolución no fue la esperada.
Recodar que los componentes de $EWZ son casi todas empresas de la "vieja economía" y super cíclicas (PBR, VALE, ITUB, BBD, etc)
Perhaps one of the best ETF in terms of technical analysis and risk/profit ratio. I got in around $25, but you can buy right now or wait for a better entry point. SL $18 (depending on your entry point), TP $50-80.
... for a total of 1.73 credit, with the 24 paying .80 and the 23, .93.
Notes: One of the dividend yielders on my shopping list (yield currently at 3.58%). I've been going three rung with these, but there is currently no October to take advantage of.
Global stocks had a nice bounce in early June, outperforming the S&P 500 by a wide margin as the “reopening” trade took hold and the Federal Reserve kept the spigots of easy money flowing.
The MSCI Brazil ETF (EWZ) rode that wave higher at the time but has fallen flat more recently. Weakening of energy prices and a spreading coronavirus outbreak in the Latin...
... for a 1.44 credit.
It's not much of a ladder with only two rungs, but there's no July currently (there will be one after May opex, after which I'll consider adding a third rung).
An acquisitional play in high rank/implied (53/66) to potentially grab this divvy yielder (5.15%) at a discount.
... for an 8.40/contract debit.
Max Loss: $840/contract
Max Profit: $260/contract
Debit Paid/Spread Width Ratio: 76.4%
Break Even: 23.40 vs. 23.30 spot
Notes: A neutral to bullish assumption, IRA-friendly play in the weakened EWZ. I naturally could have gone short put (the June 19th 19 shortie is paying .63), but wanted the opportunity to make...
After falling about 60% from this year's High, the EWZ has started a correction movement in "W" shape.
If the price goes above $26,50, I believe the share will return to trade between $30 and $35 and it'll close the first GAP opened by the coronavirus crisis.
I started my LONG position in this share since $20,00. But, if you want to get in this...
Emerging markets are at 2008 levels, as IMF says this is going to be WORSE than 2008. The rest of the world still needs to catch up, SPX is at Dec 2018 level and this virus is way worse than a double rate increase.
Ask yourself, are you better or worse off than Dec 2018?