High Probability ETF Trading: 7 ETFs You Need to Know for Thursday (EWQ, FXI, DIA, IYR, URE, GLD, GDX)
The ^SPY^ pulled back on Wednesday, but closed just outside of oversold territory above the 200-day moving average. Even more resistant to selling was the ^QQQQ^, which closed higher for a sixth consecutive trading day on Wednesday.
Internationally, a number of country funds are pulling back into oversold territory, including regional funds representing emerging markets as a whole such as the ^EEM^
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Here are 7 ETFs You Need to Know for Thursday.
Joining other country funds in trading in oversold territory above the 200-day moving average are the ^EWQ^ and the ^FXI^ (below).
Even in pulling back by more than 2% on Wednesday, shares of FXI were much lower intraday.
Selling in the ^DIA^ helped bring the ETF just inside of oversold territory above the 200-day.
REIT and real estate-related ETFs were also among those closing in oversold territory ahead of trading on Thursday. Both non-leveraged funds like the ^IYR^ and leveraged funds like the ^URE^ (below) have closed lower for two days in a row.
Shares of URE actually have closed lower for four out of the past five trading days, with the past two trading days in oversold territory.
Gold-related ETFs have also begun pulling back. This includes both exchange-traded funds based on the actual bullion price of gold like the ^GLD^ and those based on gold and other precious metals mining companies like the ^GDX^ (below).
The GDX has been under the sway of sellers for the past several days, shortly after reaching new year-to-date highs two weeks ago. GDX actually closed in overbought territory above the 200-day one day before dropping by nearly 2% on Wednesday to close in oversold territory.
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David Penn is Editor-in-Chief at TradingMarkets.com.