Emerging markets have been trading inside a massive wedge for the last 20+yrs and currently testing upper trendline....however technicals look very overbought and do not support a break yet. A move to the lower trendline in the coming months/yrs looks likely.
Emerging markets have dramatically underperformed the S&P 500 since the launch of the first EM ETF in 1987. However, during that period, there have been stretches of outperformance. In fact, there appears to be a cycle. EM outperformed from 1987 to 1994, underperformed from 1994 to 2000, outperformed from 2000 to 2010, and underperformed from 2010 until the...
