International Momentum in Brazil, S. Africa; Japan ETF Holds Uptrend (ETFs: EWZ, EZA, EWJ)

Nick Perry (Schaeffer's Investment Research) submits:
For some international perspective, the graph below shows the leading and lagging foreign market exchange traded funds over the last month:

If you followed the market this week, then you are already aware of the tumultuous week that the Japanese market had. The Tokyo Stock Exchange was forced to close early amid a rush of selling on Wednesday and this helped the iShares MSCI Japan Fund (EWJ) to take the "bottom" slot. Of course, even after this week's well-publicized volatility, the EWJ is only down two percent or so over the last month. To put this in perspective, here is a look at the daily chart:

Here you can see the pullback from the peak that has brought the EWJ back to its 50-day moving average (black trendline). This is somewhat similar to the action in October, but the key will be if the EWJ can hold above the trendline.