Wednesday, April 23, 2014
Emerging markets - about time they roll over
Here's EEM daily:
It challenged the EMA, then rose up, only achieved a lower high with decreasing volume as MACD rolled over, and is now challenging the EMA again. I'm hoping it finally starts dropping now cos I'm 2x short this dog via HJD.
$38.50 would be a reasonable downside target - nothing more than a 10% drop and a continuation of its long-term sideways trend. Then again, maybe it only falls as far as $40.50? That'll be where you'll find the -2SD line and the 50SMA in the daily chart in a week or two.
And $40.50 or so is in the vicinity of a meaty horizontal support/resistance line on the daily.
We'll see how it goes.