- Ongoing downtrend set to be challenged at $16.14 as top of an established support zone
- Upper Bollinger Band® currently at $75.5
Concerning technical analysis and more specifically, trend indicators, iShares, Inc. – iShares MSCI Hong Kong ETF's CCI indicator has fallen below -100, meaning prices are unusually low compared to their long-term average. Momentum evaluation shows that the Relative Strength Index indicates iShares MSCI Hong Kong ETF is in oversold condition. Asset volatility analysis shows that Bollinger Bands® shows an indication of recovery: the lower band is at $15.96, a low enough level to, generally, suggest that iShares MSCI Hong Kong ETF is trading below its fair value. Support/Resistance levels obtained from chart analysis indicate that a convincing break of this target could pave the way for deeper losses.
For the time being, iShares MSCI Hong Kong ETF remains flat without a clear direction.
Around $38.85, Vanguard FTSE Developed Markets ETF can look to establish a new bullish phase beyond its 50 day Simple Moving Average. Price action overcame a known Fibonacci resistance level at $38.82 by around 7 cents with prices hammering out a $38.39 – $38.9 session range. Despite this, Vanguard FTSE Developed Markets ETF's upper Bollinger Band® is now at $39.36. Vanguard FTSE Developed Markets ETF's run now faces a challenge at $39.06, which is only 17 cents away from the line. Overcoming it might send the company towards their next major resistance line— this will surely be interesting to follow.
Overall, looking at the technical analysis landscape, it seems Vanguard FTSE Developed Markets ETF likely to continue pointing upward in the short term.
Despite posting gains on Friday, Materials Select Sector SPDR Fund slid below its 3 day Simple Moving Average at $73.96 during the last session — an early indicator that a negative trend could be emerging. Bollinger Band® analysis indicates that current price action is approaching the upper band at $75.5, thereby suggesting that Materials Select Sector SPDR Fund is becoming overvalued. Materials Select Sector SPDR Fund's recent run now faces a major challenge as concentrated supply is likely found at $75.29 with price action currently 54 cents away. On the other hand, note that price action overcame a known Fibonacci resistance level at $74.41 by around 33.536 cents with prices hammering out a $73.42 – $74.89 session range.
Technical analysis of Materials Select Sector SPDR Fund price action suggests it is likely to undergo a short-term reversal amid broader bullish sentiment.
Upcoming fundamentals: United States ISM Manufacturing PMI (Oct) is expected tomorrow at 14:00 UTC.