Thursday, May 6, 2010
Emerging European Markets
There are two basic trends in the GUR chart -- an upward sloping trend line (a) and a broadening pattern, delineated by lines b and c.
Looking a bit deeper into the broadening top, we see the down, up, down within the triangle. Most importantly, we see the 200 day EMA has proved to be technically very important, providing support. Note that prices are currently right at this important technical level.
The short-term EMA picture is turning negative. All the shorter EMAs are moving lower, the 10 day EMA has moved through the 50 day EMA and the 20 day EMA is about to move lower. Also note the volume spike at the 200 day EMA.
a.) Momentum is decreasing but
b.) We haven't seen a huge flight from the security.