In addition to watching the BAC:SPX ratio pair, two others that will be of interest over
the next few days are the EUFN:STOX50 and GXC:SSEC
ratio pairs…to see how the European and Chinese Financial ETFs
compare, performance-wise, with their respective Indices.
The European
ETF (EUFN) has broken above a major downtrend/200 sma
confluence resistance level, and has been outperforming the Index since the lows
in July, as shown on the Daily ratio chart below.
The Chinese ETF
(GXC) is at a 3-year prior pivot high resistance level and has
been outperforming the Index since the lows in May, as shown on the
Daily ratio chart below.
As in the case of the
BAC:SPX ratio pair, these two are also ones to watch to
see if the Financials Sector continues to lead the European and Chinese equity
markets higher and outperform their Indices in the process.
