Emerging markets have had a very rapid rise of late. But it appears the run to daylight has come upon darkness. Both collective emerging markets (NYSEARCA:EEM) and individual ones, like Brazil (NYSEARCA:EWZ), have hit resistance trend lines and reversed. First, EEM:
EWZ's very rapid ascent appears to have hit an obstacle.
Japan (NYSEARCA:EWJ) is already in a downtrend, but it too hit resistance this week.
A commodity often associated with emerging market growth, copper (NYSEARCA:JJC), also appears to have hit resistance. It fell through support on a 4-year bearish falling triangle last week. This week provided the obligatory bounce and re-test. It looks likely to fail at the moment, and we'll see if new lows confirm that read.
With so many of the high-momentum leaders having fallen way off their highs, it's possible that the long-awaited top has arrived. Have a great weekend, all.