Emerging Bear?

On September 12 we did a heads up NFTRH update about how the EM’s (MSEMF vs. SPX, EEM vs. SPY) was losing leadership and breaking the first level of support.  It is still password protected, so no link.  Here’s EEM-SPY…

Nominal EEM has since gone on to lose the August low, potentially indicating a bearish trend to come.  I shorted this (jumping the gun a little because it had already broken down vs. US stocks) using EEV on Friday.

So far so good… or bad… or bearish anyway.

Now let’s consider that the China 25 FXI is losing a similar support level and Europe is wobbling a little.  How about our neighbors to the north?  Let’s check in on the blue sky riding TSX, which needs to hold the August low to keep its blue sky status safe and comfy because a lower low could set a new trend.

How about TSX’s little speculative brother, the TSX-V?

Okay, so it is not just the emerging markets that are getting the bear.  Markets all around Fortress America are looking suspect at least and in the case of toxic waste dump directly above, very scary.  We noted its loss of long-term support in the weekend letter.  Today added some oomph to that.