Mexico is seriously starting to crack, folks……….
That topping pattern is almost complete. Once the lower horizontal breaks ($42.47), it’s adios.
Monday was a good start to the week. I’d like to suggest that emerging markets are just about to get whacked on the side of the head. The magenta pattern below is the top. The green area is the failed bullish breakout zone. It is my considered opinion prices are about to descend deep within the green again.
I last wrote about China’s Shanghai Index (as part of a comprehensive review of major world markets) on January 29th. Since then, and, until June, the road to recovery from its lows of the year has been volatile and rocky. The last half of this year has seen a fairly steady, if choppy, advance to its current level just below its next resistance level of 3250, as shown on the following Daily chart.
In that post, I had mentioned that a rally to (and hold above) 3000 could thwart a major downdraft, as was being threatened by an imminent break of a neckline of a massive Head & Shoulders formation.
My apologies for such a long post, but I have a lot to say…
This post will look at where “outliers” are sitting in a variety of world markets, as of the close of the week that saw Donald Trump win the race for U.S. President (those instruments sitting at relatively high or low price levels compared with their respective counterparts and in relation to major support/resistance levels).
They will be shown on the following 1-year Daily charts, Year-to-date gains/losses comparison graphs, and several 5-Year Ratio charts, and will be grouped in the following 10 categories:
- Major U.S. Indices
- 9 Major Sectors + Homebuilders
- Major European Indices
- Emerging Market & BRIC ETFs + BRIC Indices
- Canada, Japan, UK, Australia + World Market Index
- Commodities + US $ + US Bonds
- Major Currencies
- SPX vs World Market Index
- Financial ETFs vs U.S., European & Chinese Major Indices
- Retail ETF vs SPX
MAJOR U.S. INDICES