At The Danger Point
Emerging Markets (EEM) price action has stopped dead.
As we’ll see below on the Weekly Close chart of EEM, there was a huge run-up last week.
This week’s different as the upward move has (at this juncture), come to a halt.
Emerging Market, EEM Weekly Close
It may be tongue-in-cheek, but the arrow shows that so far, there’s been essentially no upward progress this week.
Looking at the un-marked daily close, we have this.
Expanding the last several trading sessions, the upward net moves have become shorter.
Today, price action failed to close at a new (bounce) high.
Volume also contracted -32.5%, from the previous session and gives clues we may be at or near a top.
If EEM’s price action is slowing down on the upside, then leveraged inverse EDZ, is slowing down on the downside.
Compared to last week, this week has been very quiet.
As said in other posts, a 23.6% retrace is rare.
However, if EEM reverses from this point, confirming the top, then downside opportunity is likely to be significant (not advice, not a recommendation).
Charts by StockCharts
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The Danger Point®, trade mark: No. 6,505,279