Short Term Trading Member Forum

[techcharter]

EEM - Emerging Markets E-Wave

This is one of the clearest wave counts of an electronically traded fund; therefore, the application of e-waves will yield the lowest risks on returns.

The print high of 53.74 in October '07 was followed by a triangle. The rally out of March '08 truncated (failed to make a new print high).

WAVE A of the bear market started in May'08. WAVE B (zigzag) bear market rally started in November '08 and looks to be finishing up any day now. WAVE C is very close to beginning.

Other technicals favoring a top:
1.) Stochastics have been in the overbought area for 5-8 days.
2.) The 200 dma is resistance to significant rally.
3.) Last week the volume trended down as the price trended up, a divergence.



http://stockcharts.com/h-sc/ui?s=EEM&p=D&yr=1&mn=10&dy=0&id=p65772376626