Three Strong Country ETFs Joining the US at New Highs

Feb 27, 2015: 12:59 PM CST

As we chart the US S&P 500 (and related ETFs) flirting with more all-time highs, let’s compare the US strength with three countries whose related ETFs are also at similar new highs.

We’ll start our adventure around the world with India (INDY):

This post is designed simply to highlight these country ETFs and their bullish trend structure and new highs.

India has strengthened noticeably through 2014 and the relative strength continues with bullish action in 2015.

The INDY ETF price level to watch is the $33.00 per share zone and the potential for more upside action.

We’ll travel a bit further east now to China, viewing iShares ETF FXI:

Unlike India, China traded in a wide range from 2012 to 2014 and we’re now seeing the ETF price break through the current resistance shy of $44.00 per share.

Focus your attention on the $44.00 per share simple level for possible continuation of the bullish trend.

With the exception of late 2014, the fund has enjoyed a continual upswing from $33.00 to $44.00.

We’ll conclude our journey around the world with Japan, using iShares ETF EWJ:

Unlike the other two countries – and the United States – Japan saw major strength at the beginning of 2013 but a stall or two-year sideways range develop between the $11.00 and $12.00 per share ETF level (a small range like that makes traders turn their attention elsewhere).

Nonetheless, shares bounced powerfully off the $11.00 level twice in 2014 and now we’re seeing similar bullish ‘straight up’ price action that just saw a slight new high achieved.

While the ETF is indeed at the new high level, it’s probably best to turn attention elsewhere given the price and range of the fund.

For contrarians, Japan’s ETF could be an aggressive short-sale candidate in the event the range continues and price reverses down against the old resistance level.

Even if you don’t trade overseas ETFs, it can be helpful to chart country ETFs to highlight strength and weakness and identify where the broader money may be flowing.

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2 Comments

2 Responses to “Three Strong Country ETFs Joining the US at New Highs”

  1. Hamza Says:

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  2. Moin Says:

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