Chart of the Day - Thursday, May 2, 2024

🏆 Today’s Chart of the Day was shared by Urban Carmel (@ukarlewitz).

• The Emerging Markets ETF ($EEM) rose +2.58% today, marking its best day in five months. It also made a new 52-week high for the first time since the peak three years ago.

• Urban points out that $EEM broke out to a two-year high today (including dividends). It hasn't broken out if you adjust for dividends, but it's very close. $42 has been a major resistance level over the past two years. Clearing this hurdle would be a big improvement for $EEM.

• China has recently been driving $EEM higher after three years of weighing it down. If China continues to stabilize, $EEM could start participating.

The takeaway: Emerging Markets ($EEM) joined the new 52-week high club today after being absent for three years. China could go from being a headwind to a tailwind for $EEM. Ending the week above $42 would be a big improvement.