Matt Blackman

Tuesday Outlook: Commodities, Metals, Global

Very good analysis David as always! Check out the potential Head & Shoulders top forming on the EEM and that we are very near the slightly upward sloping neckline on my weekly chart. If it breaks down, I calculate the minimum downside target at 86 which is a 32% drop from yesterday's close (see tradesystemguru.com/co... )

Matt Blackman - TradeSystemGuru.com

Emerging Markets: The More 'Uncoupled', the Better

Great, except that emerging countries have a lot more downside given that the decoupling analysts have been touting is a load of bull (see tradesystemguru.com/co.../ ) if recent corrections are any guide. In other words, emerging markets like India and China as well as Asian stalwart Japan have a high correlation with markets (and economies) in the US. While I have a great respect for Jeremy Grantham, he may be a tad optimistic on these markets especially given his recent comments on the greatest number of bubbles popping around the globe. How can these markets which are now exhibiting parabolic blowoff tops be better places to invest?