Emergingmarkets
Argentine Telecom deep discount breakout on falling wedgeTEO breaks out of deep falling wedge from half its value earlier in year.
* Paid a 17.45% dividend last year and known for double digit dividends
* Telecom 5G play for new subscribers in 2019, or watch until 2019 entry at higher price, likely near $30.
* Growing mid-cap telecom, cable, cellular provider
* Fell out of favor on negative earnings miss building infrastructure
* Revenue growth +35%, Revenue change +24%
* Currently only 20% large fund ownership, which will grow with 5G emergence
* Breaking out from bottom just above $15 and below $20 and going up.
Viewers come to own conclusions with charts and investing.
ENIA LONGENIA is a company that has gotten smashed with most EM's over the past few months, but has had no fundamental changes. Price recently bounced off support at $7.00, and is up over 10% since then on big green volume. This is an easy long to hold over the next few months. My price target is $11.
AUD/USD: Looking For Cues Via EM Currency IndexIn this chart exercise, it becomes blatantly clear why the Aussie is often referred to as a proxy for emerging markets.
We've created an EM-weighted index with 7 currencies (Argentinian Peso, Turkish Lira, Russian Ruble, South African Rand, Chinese Yuna, Indonesian Rupiah, Indian Rupee).
Do you notice the extremely strong negative correlation? As long as the trading war keep undermining emerging markets, one can take cues from the EM index to trade the Aussie.
In the latest divergence spotted on Sept 10, notice how we were going through a recovery in emerging markets (candle chart going lower), yet the aussie remained at trend lows?
MSCI emerging markets Similar past, veryYou do not have to be a genius to see the huge similitures of the past charts of the emerging markets msci of exactly 10 years ago¡ , specifically in 2008, where you can clearly see an upturn in investment in these markets msci very, very strong up, reaching a summit to explosion and crach donw , it can practically be seen as a carbon copy 10 years later the same pattern almost yes,
well You may not remember it , but exactly 10 years ago it was the resection in North America.
Well coincidences, possibly.
but without a doubt the Charts are very similar to those of the past.
USDTRY - Relaxation ahead of Central Bank MeetingThe USDTRY is relaxing a tad, and the short-term bias has turned south for the first time in weeks. The Turkish Central Bank meets this week but so long as Erdogan continues with his current political stance (adversarial stance vs. Western Countries) there is little hope for the Try.
Take note of the key levels.
USDTRY - Higher low into today with pressure on yesterday's highMore emerging market stress today, with USDTRY probing yesterday's high and a break will generate a new continuation move higher.
Look for intraday pullbacks to be bought. So long as we remain in positive territory today, this thing can press higher.
EM Currencies: Major Source of Concern, Watch Aussie vs Yen Judging by the state of play in the emerging market currencies, it's little wonder that the AUD/JPY has been performing so badly. Brushing aside the domestic affairs in the Australian economy and its implications for a more dovish RBA, this chart, which factors in equally weighted proportion the IND, IDR, ASR, TRY, RUB, CNY and ZAR as a rough indicator of the sentiment towards EM, suggests a macro bearish picture in the AUD/JPY.
As illustrated in the 2nd window of the chart, the inverse correlation remains very strong, with the recurrent cycles of divergences opportunities one can potentially tap into via lower timeframes to find trades. It's important to note that the 100 MA in the H4 chart has been acting as a predictive indicator of periods of consolidation in the chart before the next implosion in the deterioration in value of EM currencies. Every time the chart has touched the 100MA amid a high AUD/JPY, it has represented some major short opport.
Emerging markets aka Submerging MarketsThis is the Dow Vs the China index post Trump. If you believe the media at this point, that China isnt sweating about this, I don't know what to tell you. I'd get out of emerging markets for now and let this dust settle. Turkey, Argentina are just the first, South Africa and Indonesia, will Follow, and China will fall until they make peace with Trump. I'd focus on US for the next year or two in terms of equities. USD is about to make a big move up with emerging market currencies taking a dump
USDARS - Emerging Markets in TroubleThe collapse of the Peso has accelerated after President Macri called yesterday for the IMF to accelerate disbursement under its standby programme amid rapidly deteriorating market sentiment. The Argentinian central bank hiked rates from 45% to 60% in a forceful attempt to shore up confidence. However, despite the hike, the Peso has continued to weaken. The ball is now clearly in the IMF's court...
Gold pulls back to 0.25% retracement level; completing Wave BGold pulled back to a perfect 0.25% retracement level to complete Wave B. This new low should act as a key low price level completing a Wave B pullback. At this point, longs should begin to take control drive prices much higher - forming a new Wave C (typically the longest price wave). Get ready, this will likely be paired with some "crisis event" news from the foreign markets (China, Spain, South America or others) as a rally in gold will be the result of some other foreign issues diving a protectionist move.
This is an early signal. We could still see many weeks of "bottom formation" or we could see an immediate reversal forming a Piercing Line, Engulfing Line or Morning Star Reversal pattern. If my an analysis is correct, this move in gold will likely be the result of continued pressures from foreign entities and start a contagion that may last for at least 24 months.
Visit my web sites to learn more about me and my skills. If you are not prepared for this and other future moves, then you need to consider how you are going to stay ahead of these moves in the global markets. Don't miss this opportunity for great success when these moves break.
China/Asia crashes through support - look out below.China/Asia break support and head lower as the debt contagion continues to spread in SE Asia. Watch how this debt/credit issue expands across SE Asia, South America and across the One Road project countries. My assumption is that China is using every resource possible to prevent this type of contagion event from happening now with it having "fingers in every country" and enacting a very bold and expansive initiative to expand trade and other infrastructure projects across the developing world.
My opinion is that this contagion is just beginning to take root and once the true damage is known, it could be complete chaos while these other foreign nations and China attempt to restore some order and function to these lofty plans.
There is an old saying in China that goes "How do you know a Chinaman is greedy? He will have one finger in every pot at the dinner table - but never eat". This saying it, literally, exactly what is happening in China at the moment. The greedy Chinaman has one finger in every pot to try to control (for himself) everything on the table, but with one finger in every pot (all the time), he can never really eat and enjoy the food. He is too busy trying to control everything and keep his fingers into everything.
Watch how this plays out and visit my web sites if you want to know more about what I do and how I can help you navigate these global markets. We are going to see many huge swings in the financial markets over the next 10~20 years. You better be ready for it or have a solid team of people backing up you.
EWZ - (Short Premium) Selling straddle into high IVRThere is no real clear price action direction, this chart has even room to run in both directions, and the 'IVR is high which makes it a good candidate for a short premium trade. I am selling a straddle as I can collect 10% of the underlying in premium in just 46 days.
Macro Dashboard 8 Of The Most Interesting Markets My outlook for what's happening right now and where things will likely turn or move to.
BTCUSD
WTI
30 Yr Bonds
USDCNH
Gold
DXY
EEM
Bloomberg Commodities Index
Seasonally August and September SPX underperforms while global markets outperform, this could be a good counter trend move into September lows as the US positions itself to vacuum up as much global assets as possible. Consider this scenario...
Strong Dollar
Strong Bond
Strong Equities
Strong Real Estate
Strong Oil(?)
Weak Gold, Euro, Yen, Yuan, Commodities, Global Real Estate, EEM, ME-Euro Equities, Asian Equities, Global Bonds, Brexit, Italexit, Spain-Exit, devaluation of Lira....
Where does money go in this scenario, that actually looks like it might take place? US Assets