EEM trade ideas
Global Emerging Markets - Macro Outlook & CommentaryTraders & Investors,
We anticipate emerging markets to be vulnerable to a macro slowdown following the virus outbreak in China. Emerging Markets have a high dependency on Chinese demand and consumption which often creates a very strong correlation between domestic activity/trade and the performance of these markets.
The effects of the virus are prominent with analyst expectations of substantial drops in Chinese Q1 GDP, dovish positioning of the Monetary Authority of Singapore, sell off in Crude/Brent, gaps lower in Asian Equities and flows into risk-off assets.
Following the euphoric bull run in 17'/18' and pullback into fair value, we see price correcting for a move lower into our buyside floor and macro swing targets of 34.0x.
We have added sellside exposure across both our macro and directional portfolios
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More discount to get EEM It's been down for nearly 10% and still no sign of recovery.
With the global stock market going on a freefall, EEM will not be spared as well. So, cheap can get cheaper.
Trade safely, always use a SL and employ appropriate risk and capital management.
Emerging Markets - Buy Signals- Winning parabolic sar strategy for buy/sell signals since August.
- Slow Stochastic breaking above 50.
- Keep it simple, Buy the dips.
- Phase one China/US trade developments provide bullish demand on EEM.
EEM - DAILY CHART Hi, today we are going to talk about iShares MSCI Emerging Markets ETF and its current landscape.
The emerging markets today can face an increase of volatility and perhaps pessimism as Trump's stated that will reinstate Steel and Aluminum tariffs for Brazil and Argentina since, in his perspective, both countries are devaluating their currencies to be "unfairly" competitive in the sale of agricultural goods, which is negative for U.S farmers. We must remember that since the beginning of the Trade War, China has stepped into the gas pedal in buying Brazilian agricultural goods, and the Brazilian currency has reached new record lows against the U.S dollar, which theoretically bases Trump's argument. This could be bad news for the market if imply a new Trade War front against these Latam countries, that doesn't have China firepower to sustain a tariff battle against the U.S.
Trump's movement could be clearly interpreted as an endeavor to take these competitors of the road, to try to suffocate China's lifeline of agricultural goods, and maybe force them to become more friendly with the idea of expanding their spending on U.S agricultural goods.
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Emerging Markets Lag PlayI see emerging markets and US small caps lagging with the rest of equity market. I would like to see emerging markets grind higher over the next two weeks to a new 52 week high. This recent dip looks like a technical sell off and we are at a low risk entry point to go higher.
I will be watching that...EM...4200MSCI Emerging Markets enjoying the fact that the only 2 tweets coming from Trump, wasn't his usual “great and unmatched wisdom”. For now, there is a "partial deal" between the US and China, which got all the bears running for some short covering. While the SPX is up 1.7%, the MSCI Emerging Markets Index is enjoying the news A LOT more, increasing 2% since yesterdays close.
A break and close above the $42 mark, break a very strong resistance level; namely the top of a Descending Triangle. This could be very bullish for the #ETF. Next resistance level would then be $43.20, with a break and close above these levels suddenly bringing $45 as next target.
$EEM Long Term Wedge BreakOut, Parabolic SAR Buy turning UpChart Looking Bullish
EEM Lagging U.S. Markets this Year, Fund Managers that Made Their Money & Preformance In U.S. may look to take Profits In U.S. markets & Sling some at an Under Performer.
With China A Shares Moving Up to 30% of EEM, & Destined to Become the Global Super Power in the Next 15 Years, They'll Probably Want In Early.
Ray Dalio, Who Runs the Biggest Hedge Fund In the World Bridgewater Associates.. .Went Heavily Bullish On China In the Last Week
DESCENDING CHANNEL IN EEMCharts shows a Descending Channel in EEM for ETF market on daily timeline. The Descending Upper Trend Line is touched by Points 1,2 and 3 and the Descending Lower Line by Points 4 and 5. There is a break out point of the channel indicating a long strategy.
$EEMUp & Out of the Wedge, We'll see if the President & Chief Market Manipulator & China Can Keep It Going or a Presidential Tweet Crashes It
Emerging Markets at Cross RoadsTechnical Confluence:
-Stochastic stretch
-5% envelope resistance
-Long term downward trend line resistance
-Long term horizontal trend line resistance
OPENING: EEM MARCH 20TH 2 X 3 33/46 SHORT STRANGLE... for a 2.00 credit.
Metrics:
Max Profit: $200/$100 at 50% max
Max Loss/Buying Power Effect: Undefined/$1120
Break Evens: 31.98/46.68
Delta/Theta: 1.51/-3.36
Notes: I had to putz a bit to accommodate skew on the call side ... . Will look to take profit at 50% max, adjust on test of side break even or on side approaching worthless to avoid its going no bid.
EEM - Emerging Markets - a (little) more bullish countA more bullish count but still suggesting an almighty decline eventually. This one or the other one or another one.....ummm.....?
EEM - a bearish emerging markets countWhile this count expects a decent rally into 2020 it's longer term projection is for a pretty serious move to the downside.
[Short] Emerging markets Shorting the bounce inside a downtrend. Could rise a few more days to backtest a big bear flag.
I've got a put position in FXI and EWG. This is a good candidate too.
