The default Emerging Markets Chart is not useful for stock investors. Scroll down to our latest Emerging Markets articles which feature our own charts with meaningful insights.
Emerging Markets Index: Our Most Recent Articles with Forecasts and Insightful Charts
Below are our latest articles about the emerging markets index that are written by InvestingHaven’s research team articles, symbol EEM.
The emerging markets index chart is among the most well known and most viewed charts when it comes to emerging stock markets.
Note though that the emerging markets index chart (EEM ETF) is an ETF which means it has a certain number of holdings each one with its own weighing.
Just to illustrate this we see that at the time of writing (early 2019) Hong Kong has a weighing of some 20% in the EEM ETF while Brazil has almost 8%. This is an important aspect because if a country with a smaller weighing has bullish momentum it will hardly be visible on the EEM ETF chart.
Case in point: Brazil was very strong in the second part of 2018 but because of its relatively low weighing there was no sign of this visible by just looking at the EEM ETF chart.
That’s why it is strongly recommended to check all countries in the emerging markets index all separately. In other words the emerging markets index may be good to have a high level idea of where most of emerging stock markets are headed but it certainly is not sufficient.
That’s why we have included the emerging markets index chart in our proprietary methodology but we also monitor simultaneously some 25 other emerging markets stock charts. More about our methodology in our continuously updated market monitor 15 Leading Indicators For The Dominant Market Trend
When it comes to the high level trend(s) in the emerging markets index the most important thing to note is the notion of the ‘lost decade’. When analysts refer to this they mean to say that for some 10 years emerging markets have traded in a sideways range. There were no real profits in emerging stock markets other than some specific exceptions like China’s big rally in 2014 or India’s stock market in 2017.
The million dollar question is whether the emerging markets index chart shows a breakout that started in 2017 and got successfully backtested in 2018. In other words is this secular breakout for real and will as of 2019 emerging markets move higher in a new secular bull market trend?
InvestingHaven is on record with a clear answer ‘yes’ on this chart.
We continuously track the answer to this crucially important questions. That’s why we recommend to follow our articles about the emerging markets index and our forecasts. Note that each and every of these articles contain charts that were manually crafted by InvestingHaven’s research team. Especially the monthly charts are awesome, not only because of the patterns they reveal but more so because they are actionable for investors.