Tuesday, March 5, 2013
Morning Market Analysis
Thanks to weak economic news coming from Europe, the euro is now is a technically weak position. On the daily chart (top chart) note that prices have broken the uptrend that lasted from mid-November to mid-February. Prices are now below the 200 day EMA, pulling the shorter averages lower. Momentum is clearly negative, as is the volume inflow.
But the real technical damage is seen on the weekly chart (bottom chart). Prices broke the uptrend that started at the end of last summe. After getting above the 200 week EMA, prices moved lower and are now below all the EMAs. The MACD has given a sell signal as has the EMF.
The Columbia ETF's daily chart is currently forming a rounding top patter. Prices are now below all the shorter EMAs and the 10 day EMA has moved below the 50 day EMA (the 20 is about to follow). 21.50 is currently providing support. A break of that level would make the 200 day EMA the next logical price target.
The Indian market ETF bears a striking resemblance to the euro ETF. The daily chart (top chart) has broken a trend that started in mid-September. Prices found resistance several times around the 62 level, but couldn't move higher. Now prices are below the 200 day EMA.
On the weekly chart notice that prices have broken an uptrend that started at the end of last summer. Prices are now below all the EMAs. The MACD has given a sell signal and the CMF is very weak.