China, Small Caps Oversold as Buyers Return to Technology: 7 ETFs You Need to Know for Wednesday
With the futures indicating a strong open, traders and investors will be looking for follow-through to the upside in the wake of Tuesday’s positive close and blow-out earnings from Intel. Keep in mind that Apple is scheduled to report quarterly earnings today on Wednesday.
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Here are 7 ETFs You Need to Know for Wednesday.
The most oversold ETF heading into trading on Wednesday are financial funds, the ^KBE^ and the ^KRE^.
Among country funds, the most oversold is the ^FXI^ (below).
Shares of FXI have closed lower for the past two days in a row, with both closes in oversold territory above the 200-day moving average.
Both rangebound and oversold above the 200-day moving average is the ^IWM^ (below).
IWM has closed up for three out of the past four trading days, but has closed in oversold territory for the past two days in a row.
After pulling back for three days in a row, the ^TYH^ bounced in trading on Tuesday to close higher by more than 1%.
In addition to the FXI above, the ^EWA^ (below) is also oversold above the 200-day moving average.
The fund has closed lower for two out of the past three trading days.
A number of country funds are trading just outside of oversold territory heading into trading on Wednesday. If there is significant selling, exchange-traded funds like the ^EWU^ and the ^EWG^ could easily end up in oversold territory in the second half of the week.
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David Penn is Editor in Chief of TradingMarkets.com