Just a simple chart to share: the emerging markets ETF, shown below, has what I consider to be an important line at $35.64 – – – that’s a mass of overhead supply (tinted in magenta) versus an inverted head and shoulders pattern (tinted in green). Thus, the battle line has been drawn. If we slip clearly above it, that could help power global markets (and really accelerate the S&P 500 to heights never seen before). On the other hand, if we encounter exhaustion at this point, all that overhead supply is going to act like a lead wall to further gains.
