Saturday, September 16, 2017

Japan Is Looking A Little Burnt Out (EWJ)

Japan ETF EWJ has usually been a bit of a stalwart and I've never had to comment much on it but recently I drew in an ascending wedge pattern which has held really nicely up till now. I can't say I'm a particularly huge fan of the long-term prospects for the Japanese economy, the first developed nation to begin selling more adult diapers than children's, but it has always being a reliable gainer and it does have a lot of good things going for it. Right now the divergence between the MA(144) and various EMA's is quite divergent and with a pattern developing like this a retracement to MA(144) seems quite strong.