Today markets responded to positive comments from the Fed's Fisher who basically said the economy is strong.
Investors are always curious about overbought market conditions and just how long they can last in that condition. Some overseas markets remind me of the 1995-1999 period in U.S. markets. Examine the "monthly" charts below and you'll note similarities between the NASDAQ then and iShares S&P Latin America 40 Index (NYSEARCA:ILF) today which featured extended overbought conditions that persisted for a period beyond most pundits' ability to predict. However, the longer these conditions persist, the sharper the correction when it finally occurs.
Have a pleasant evening.
Disclaimer: The ETF Digest maintains positions in: streetTRACKS Gold Trust ETF (NYSEARCA:GLD), Central Fund of Canada (NYSEMKT:CEF), PowerShares WilderHill Clean Energy ETF (NYSEARCA:PBW), iShares S&P Europe 350 Index (NYSEARCA:IEV), iShares MSCI Spain Index ETF (NYSEARCA:EWP), iShares MSCI Mexico Index ETF (NYSEARCA:EWW), iShares FTSE/Xinhua China 25 Index (NYSEARCA:FXI), iShares MSCI Malaysia Index (NYSEARCA:EWM), iShares MSCI Australia Index (NYSEARCA:EWA), India Fund Inc. (NYSE:IFN) and iShares S&P Latin America 40 Index (ILF).