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The inset box reflects the three largest ETF’s in America. The second largest ETF has done poorly compared to SPY over the past 6 years and has formed a multi-year pennant pattern that is breaking down of late.
Vanguard Emerging markets ETF VWO can brag about it size, yet not performance. The breakdown from this pennant pattern could put the pinch to a bunch of assets!!!
Speaking of a large number of investors getting hurt, the number three ETF hasn’t been doing so hot of late, maybe that is why $1 Billion left GLD last Friday.
Beware of “Crowded ETF’s” and what can happen to there price when mass selling takes place!!!
Carl…great thoughts and observations. The Emerging markets area has reflected relative weakness for a good while, I am shocked that the second and fourth largest ETF in the US are Emerging markets and such poor performers. Boy a ton of people have been let down!
Hi Chris, as always thanks for sharing. And as always (well, often) pls allow me to be a bit challenging: if you see the same chart in no-log scale, no trend line has been breached yet. Plus: on weekly view I can see a huge Cup with Handle, and we are still in the right handle. But most important I can also see a complex bearish Head & Shoulder pattern that has FAILED (the small yellow square on the chart below) so more upside should be expected. Of course, totally wrong I can be 🙂