Future Retirement Success
  • Politics
  • Business
  • Investing
  • Stocks
  • Politics
  • Business
  • Investing
  • Stocks

Future Retirement Success

Stocks

Emerging Markets vs. U.S. Markets

by December 1, 2023
December 1, 2023
Emerging Markets vs. U.S. Markets

While December 1st brought out the bulls in nearly EVERYTHING, one area caught our attention.

In December 2019, I saw a similar chart showing an unsustainable ratio between equities and commodities, which started me on the notion that something had to give. Now that I see this chart, with emerging markets at 50-year lows versus the U.S. markets, that does not necessarily mean the ratio will unravel in a month, or 2 or even more. However, it does give us a focus for 2024, at least to watch emerging markets for signs that the ratio could narrow.

In 2020, after COVID, the equities-to-commodities ratio moved a lot. It did not sustain though as many commodities peaked by June 2022. But it was a great 2-year run.

Now, in 2023, there is another ratio many are watching — growth and mega-cap stocks vs. value and small cap stocks. On Friday, we saw that ratio come in a bit, with NASDAQ up .32% and the Russell 2000 up 3.09%. Historical distortions of relationships can offer investors great opportunities in all trading timeframes.

With emerging markets, China has been under tremendous pressure, while country funds like Brazil have done well (although still not keeping up with SPY. The monthly chart of EEM is elucidating.

EEM iShares MSCI Emerging Market ETF ended November and began December very close to the 23-month moving average. (Compare this to SPY, which started December about 3-4% lower than its all-time highs.) So, for timing, we love these monthly charts.

Should EEM clear the 23-month MA that is a start. The risk would be clear, under the low of the month EEM close over the 23-month MA. Then, we would look to see if EEM can clear what appears to be the scene of the breakdown crime, or at 42-43.00. And that’s how you play ratios-you wait for price.

I will be away until December 14th. Look for my Outlook 2024 “If You Can’t Stand the Heat, Don’t Tickle the Dragon,’ to be out very soon. It is packed with ideas for the new year.

Have a great couple of weeks!

This is for educational purposes only. Trading comes with risk.

If you find it difficult to execute the MarketGauge strategies or would like to explore how we can do it for you, please email Ben Scheibe at Benny@MGAMLLC.com, our Head of Institutional Sales. Cell: 612-518-2482.

For more detailed trading information about our blended models, tools and trader education courses, contact Rob Quinn, our Chief Strategy Consultant, to learn more.

Traders World Fintech Awards

Get your copy of Plant Your Money Tree: A Guide to Growing Your Wealth.

Grow your wealth today and plant your money tree!

“I grew my money tree and so can you!” – Mish Schneider

Follow Mish on Twitter @marketminute for stock picks and more. Follow Mish on Instagram (mishschneider) for daily morning videos. To see updated media clips, click here.

Mish in the Media

Mish makes the case for Vaxcyte (PCVX) and presents the bullish case for gold in this appearance on Business First AM.

Mish talksabout money supply, debt, the consumer, inflation and trends that could gain traction in 2024 with Nicole Petallides on Schwab Network.

On the Tuesday, November 28 edition of StockCharts TV’s Your Daily Five, Mish presents 6 stock picks with specific actionable plans.

Mish covers the technical setup for Palo Alto and how MarketGauge’s quant models found this winner on Business First AM.

Mish and Maggie Lake cover inflation, technology, commodities and stock picks in this interview with Real Vision.

Mish talks trading range, fundamentals, and how to think about commodities right now on Yahoo! Finance.

In this appearance on BNN Bloomberg, Mish covers the emotional state of oil and gold, plus talks why small caps are the key right now. She also presents a couple of picks!

Learn how to trade commodities better with Mish in this interview with CNBC Asia!

Mish and Charles Payne discuss why the small caps, now in mid range still have a chance to rally in this appearance on Fox Business’ Making Money with Charles Payne.

Mish talks about Tencent Music Entertainment on Business First AM.

Mish talks bonds with Charles Payne in this clip from October 27, recorded live in-studio at Fox Business.

Coming Up:

December 3-December 13: Money Show Webinar-at-Sea

December 14: The Final Bar with David Keller, StockCharts TV

December 20: Outlook 2024 with StockCharts

December 22: Yahoo! Finance

December 28: Singapore Breakfast Radio

Weekly: Business First AM, CMC Markets

ETF Summary

S&P 500 (SPY): 450 support, 465 resistance.Russell 2000 (IWM): Now 181 has to hold; next resistance 190.Dow (DIA): 360 becomes pivotal support.Nasdaq (QQQ): 388 now pivotal.Regional banks (KRE): 45 underlying support with 50.00 resistance.Semiconductors (SMH): 160-161 pivotal support.Transportation (IYT): Cleared 250 now has to hold it.Biotechnology (IBB): Big eyes here if holds 120.Retail (XRT): 65 now key to hold and 70 resistance to clear next.

Mish Schneider

MarketGauge.com

Director of Trading Research and Education

0
FacebookTwitterGoogle +Pinterest
previous post
What A Week! This Small Cap Party Might Just Be Getting Started
next post
MEM TV: Nasdaq Flat But These Top Areas Outperform!

You may also like

Election Aftermath: Unleashing Profitable Small Cap Stocks

November 7, 2024

Weak Charts Keep Getting Weaker

April 23, 2024

Scanning for Strong Reversals via Bullish Engulfing Patterns

May 31, 2023

Progress for the Bulls, But Will It Hold?

March 31, 2023

4 Indicators and The “Bear Market” Rally

October 17, 2022

MEM TV: Can the Markets Continue Higher on...

July 14, 2023

Small-Caps Rocket to the Upside, Leave Large-Caps in...

December 15, 2023

DexCom Stock Rises From the Ashes: A Breakout...

January 17, 2025

Quantum Computing Stocks: Why You Should Invest in...

December 26, 2024

Striking While The Iron Is HOT!

October 15, 2023

    Get free access to all of the retirement secrets and income strategies from our experts! or Join The Exclusive Subscription Today And Get the Premium Articles Acess for Free

    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Recent Posts

    • Trump-aligned legal group probes Biden-era organ transplant program over ethical concerns

      August 21, 2025
    • Beyond ETFs: New XRP Cloud Mining Contracts Help Beginners Earn $3,100 Per Day

      August 21, 2025
    • NATO defense chiefs stress commitment to Ukraine, discuss security guarantees during virtual summit

      August 21, 2025
    • Russian drone crashes in Polish field; Warsaw protests airspace violation and plans formal complaint

      August 21, 2025
    • Gabbard launches ‘ODNI 2.0,’ with plan to cut workforce by 40%

      August 20, 2025
    • How to set up a smart home on a budget after graduation

      August 20, 2025

    Categories

    • Business (8,839)
    • Investing (2,227)
    • Politics (16,451)
    • Stocks (3,228)
    • About us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: futureretirementsuccess.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2025 futureretirementsuccess.com | All Rights Reserved