MIKE PAULENOFF'S ETF TRADING DIARY
While we have discussed the relatively strong chart patterns in the EWZ, EEM and GDX vis-a-vis the SPYs, for instance, the iShares China, ETF (AMEX: FXI) just might have more going for it than any of the others. Does this mean that the Chinese economy is about to boom again at double-digit growth? Highly unlikely. But from a near term technical perspective, the "sling-shot effect" in the aftermath of a 74% decline in value from its Oct. 2007 peak at 73.17 to its Oct. 2008 low at 19.35, coupled with the recent relatively positive chart action suggest strongly to me that the FXI is heading for 29.50-30.00 next.
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