High Probability ETF Trading: 7 ETFs You Need to Know for Monday (EWC, EWM, VGK, IEV, XLK, XLE, IYZ)

As trading begins on Monday, the ^QQQQ^ remains just outside of overbought territory above the 200-day while the ^SPY^ remains just outside of oversold territory above the 200-day.

The most oversold exchange-traded fund trading above the 200-day moving average going into Monday’s session is the ^FXI^, an ETF that has been highlighted in recent 7 ETFs You Need to Know.

Here are 7 ETFs You Need to Know for Monday.

In addition to FXI above, a number of our most oversold funds here at the beginning of the week are country funds. This includes both the ^EWC^, as well as the ^EWM^ (below).

EWM chart

Shares of EWM have closed lower for three days in a row heading into trading on Monday. All three of those closes have been in oversold territory above the 200-day.

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Regional ETFs have also been pulling back above the 200-day in recent days. European funds like the ^VGK^ and the ^IEV^ (below) have both closed lower for two out of the past three trading days.

IEV chart

Shares of IEV have closed in oversold territory for two out of the past three sessions, as well.

Trading just outside of oversold territory above the 200-day are shares of the ^XLK^. The fund last closed in oversold territory last Wednesday.

Down three out of the past four trading days, shares of the ^XLE^ (below).

XLE chart

The XLE closed in oversold territory on Wednesday and rallied to near-overbought levels on Thursday.

Moving from nearly overbought to nearly oversold ahead of Monday’s open is the ^IYZ^.

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David Penn is Editor in Chief of TradingMarkets.com