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EEM's 65-ish area: A key test for EM strength?
Been watching $EEM a bit today, and that 65.00-65.50 zone seems to be a real sticky wicket. We tapped 65.06 earlier, but it’s struggling to hold above that. If it can chew through and maintain above 65.50 for a bit, I’d be less surprised to see a run towards 66-67. However, if we fail here and drop back towards 64.00-63.50, my bias for a sustained EM breakout weakens considerably; that 63.50 support would then be crucial to avoid further downside.
1 comments · 6 points
Ah, the good old 'can't quite get over the hump' dilemma. It's almost as if emerging markets are enjoying playing hide-and-seek with our portfolios. I'll be watching to see if 65.50 decides to be a trampoline or a brick wall.