The Shanghai is breaking out again. Currently, the index sits at 3370. First target is next resistance at around 3700. From there, the way is clear all the way up to its old high of 5200. That would be pretty exciting. The index is overbought via RSI and stochastics signals. The sideways pattern since becoming Read More
China breaking out
The Shanghai appears to be breaking out of its small triangular formation. This coincides with a break of its downtrend, and a nice pattern on the intermediate termed momentum oscillator (RSI) and MACD. Stochastics, the fast moving indicator, is overbought – but can remain so while the other two catch up. Comparative strength vs. the Read More
Emerging markets are not all the same!
China and India look bullish I’ve blogged on a couple of favorite emerging markets lately. Specifically, I quite like the charts of the Shanghai (China) and India (Bombay) indexes (https://www.valuetrend.ca/?p=3341). Buying country specific ETF’s or even select ADR’s (or GDR’s) are a great way to get exposure to those countries. In fact, 2 of Read More
These 2 emerging markets look bullish
The Indian market looks attractive right now. Earlier this year, the INP MSCI India index ETF broke out from a base that had been in place since 2012. The index ETF, which currently sits around $73 USD, looks to target $80-$84 at this time. If that target is cracked, the old highs of $100+ Read More
Be cautious about these market sectors
During a rotational bull market such as the one we have been in for the past couple of years, leadership changes hands – money rolls from a currently strong sector into a formerly weaker sector or stock. I suspect that a few of the current market leaders – many of which have been defensive Read More
Germany a market to watch
After its peak and crash in the Great Recession of 2008, the German ETF (which resembles the DAX index) formed a large symmetrical triangle – it finally broke out in early 2013. The trend line from that breakout, as shown on the longer termed chart, continues to hold. As you will note on the Read More
One sector to sell, two to hold
Canadian Banks Above is a Thomson chart of the BMO ZEB equal weight bank index (stock price only with no dividend reinvestment). I’ve applied a 1-year cycle tool to this relatively short termed chart. Banks have been peaking predictably around this time of the year, and have sold off thereafter. The pullbacks have been Read More
Neartermed signals suggest caution
Lipper Inc. reported recently that U.S. stock mutual funds experienced the highest two-week inflow of new money since April, 2000. Meanwhile, the Investment Company Institute showed deposits into mutual funds last week were the highest since early 2007. April 2000 was near the peak of the 1982 to 2000 bull market, and 2007 was Read More
4 bullish International markets
MarketCall I was on BNN’s MarkerCall on Friday at 6pm, where I covered the charts presented today, as well as those requested by viewers. This week, I’ll cover 4 international indices that look to be presenting exceptional upside potential. Europe I’ve covered this one in a prior blog, where I suggested that Europe was Read More
Is China ready to rally?
The HSBC Purchasing Managers Index (PMI) for China showed the first expansion in activity in seven quarters when it came out Thursday. The Shanghai Composite Index chart above shows a recent tendency for this index to find support at around 2000. Its downtrend was broken back in October, as noted by the trendline I’ve Read More