Very high correlation btw relative value of EM vs DM stocks and Gold price
At the moment, either EM is very cheap vs DM or Gold is very expensive. This should correct in coming weeks
Idea stolen from TickByTick_Team on Twitter. Sorry not allowed to paste links here
The rising dollar, increased interest rates, trade wars and all it entails mean that the emerging markets are NOT DONE trending down.
The index has been mean-reverting and will probably go even further down.
This is a great buy opportunity for long-term investors.
A lot of action will be based on fundamentals but I can see this ETF continuing its mean-reverting move and going further down by 5-10%.
If it keeps on going down, it will be a great buying opportunity (long-term) and with a nice dividend yield.
There are many on this site that are claiming to know where BTC and other cryptos are heading in the short to intermediate term. The only issue? Their analysis is absolute hogwash.
This chart shows the Vanguard Emerging Market index (which shows a diversified performance of equities in many of the emerging markets). Notice the stark similarity.
As you can see,...
Part 3. Three days ago I published Parts 1 and 2 for the-S&P and-IWM. (2,500 stocks total).
I wanted to share with you the emerging markets.
In my opinion they are weak, trend-less with a downward bias, and the risk/ reward ratio is to the down side.
VWO-is an ETF consisting of shares in the following countries:
Taiwan, Province of China ...
VWO has been outperforming since the start of the year. So far, the overall trend is still up but showing signs of crack. RSI and MACD are both breaking. the ratio itself is still above the support, and the MA cross is yet to generate a sell signal.
1. Emerging market shows strength, as shown on the VWo/VTI ratio chart.
2. As of last trading day of April, it broke a major resistance line that has been there since April 2011.
3. 3 month moving average crossed above 5 month moving average, a buy signal.