EWA Aust Index BO of big 2008 downchannel; making bullflag
Aust economy seems to be doing well despite Russian invasion causing supply problems in Natgas & wheat.
Aust is rich in natural resources. So maybe EWA is also a good hedge against FED increasing interest rates to control rising inflation. (I hope it is not too late because the 2yr-10yr yield is very near zero. The short term rates rose tremendously in the last month…suggesting fear & uncertainties & loss of investor confidence in or economy in the long term. An inverted yield curve usually signals a recession is coming maybe in the next 6 months or so)
The longer the downchannel consolidation, the higher the expansion so expect a big upside.
Not trading advice
Aust is rich in natural resources. So maybe EWA is also a good hedge against FED increasing interest rates to control rising inflation. (I hope it is not too late because the 2yr-10yr yield is very near zero. The short term rates rose tremendously in the last month…suggesting fear & uncertainties & loss of investor confidence in or economy in the long term. An inverted yield curve usually signals a recession is coming maybe in the next 6 months or so)
The longer the downchannel consolidation, the higher the expansion so expect a big upside.
Not trading advice