Wednesday, November 13, 2013

Mexican ETF Breaks Support

The above chart shows that for the last 4-5 months, the Mexican ETF has been consolidating in a symmetrical triangle pattern.  Momentum has been weak and volume flow has been fluctuating between positive and negative territory. 

Prices has had a difficult time maintaining any momentum above the 200 day EMA.  Prices broke through in August and September, but quickly retreated below this important technical line.

The weekly chart confirms the weakness in the market.  Last week prices printed a long candle on fairly decent volume.  The MACD is still in negative territory as well.