• Free Book
  • Store
    • Books
    • Free First Chapters
    • Free Newsletters
  • Recent Articles

TradingMarkets.com

Quantified Stock Market Trading Strategies & Systems

  • Home
  • New Trading Research
  • Education
    • Articles
      • Connors Research
      • ETFs
      • Options
      • Stocks
      • Volatility
    • Trading Lessons
    • Connors Research
    • Glossary
    • Interview Archive
    • Videos
  • Python
  • Quantamentals
    • Quantamentals: The Next Great Forefront of Trading and Investing
    • Quantamentals Resources
  • Courses
  • Store
    • New Book! The Alpha Formula
    • “Buy The Fear, Sell The Greed” – Best Seller!
    • Swing Trading College 2019
    • Trading Books and Guidebooks
    • Street Smarts
    • Online Trading Courses
    • Private Mentoring with Larry Connors
    • Customized Trading Research
    • Amibroker Strategy Add On Modules
You are here: Home / ETFs / Commentary / High Probability ETF Trading: 7 ETFs You Need to Know for Tuesday (EWH, FXI, VXX, VGK, IEV, SMH, QID)

High Probability ETF Trading: 7 ETFs You Need to Know for Tuesday (EWH, FXI, VXX, VGK, IEV, SMH, QID)

November 23, 2010 by David Penn

Buyers continued to push retail-based exchange-traded funds higher ahead of trading on Tuesday, with technology ETFs like the ^XLK^ also experiencing sustained buying interest – and increasingly overbought conditions.


Financials were the epicenter of much of the selling on Monday, dragging financial ETFs like the UYG^ and the ^XLF^ further below their 200-day moving averages.


Here are 7 ETFs You Need to Know for Tuesday.


Asia country funds are among the most oversold heading into trading on Tuesday. At the top of this list is the ^EWH^, noted yesterday. But exchange-traded funds like the ^FXI^ (below) have pulled back above the 200-day moving average and will be in oversold territory on any additional selling.


FXI chart


Down more than 3% and pulling away from its 10-day moving average on Monday was the ^VXX^. As the VXX, which tracks the CBOE Volatility Index, stretches away from its 10-day moving average to the downside, the risks of a market reversal have increased historically speaking.


Why not give yourself the gift of data-driven trading this holiday season? Click here to learn how to Harness the Power of The Machine using The New Machine Lite.


Exchange-traded funds representing European equities in general continue to be under selling pressure ahead of Tuesday’s open. Typical of the weakness and near oversold conditions among European country funds are the pullbacks in the ^VGK^ and the ^IEV^ (below).


IEV chart


Down for two days in a row and pulling back by more than 1% on Monday, shares of IEV rallied from their intraday lows to close near the fund’s opening price.


Strength in technology continues to make exchange-traded funds like the (below) ^SMH^ into overbough extremes above the 200-day moving average.


SMH chart


SMH edged higher by more than 1% on Monday, closing higher for a fourth trading day in a row.


And strength in technology means, in part, weakness in funds like the ^QID^ . QID is leveraged 2 to 1 to the inverse of the Nasdaq 100. This means as the technology-heavy Nasdaq 100 moves higher, the QID moves lower.


With 7 professional, quantified trading strategies for trading both bull and bear markets, High Probability ETF Trading by Larry Connors and Cesar Alvarez was voted one of the top 10 trading books of 2009 by SFO Magazine. Click here to find out why.

David Penn is Editor in Chief of TradingMarkets.com

Filed Under: Commentary, Recent, The Machine Tagged With: 7 ETFs You Need to Know, ETF Trading, High Probability ETF Trading, High Probability Trading, Moving Average - 200-Day, Overbought, Oversold, Pullback, The Machine, The Machine Lite

Buy The Fear, Sell The Greed

Buy The Fear, Sell The Greed

Swing Trading College

New Book From Larry Connors and Chris Cain, CMT – "The Alpha Formula; High Powered Strategies to Beat The Market With Less Risk"

We’re excited to announce the release of a new investment book written by Larry Connors and Chris Cain, CMT. The book, “The Alpha Formula; High Powered Strategies to Beat The Market With Less Risk “ combines… Hedge fund legend Ray Dalio’s brilliant insight into combining uncorrelated strategies… With new, minimally correlated, quantified, systematic strategies to trade… [Read More]

Buy The Alpha Formula Now

Connors Research Traders Journal (Volume 57): 7 Real-World Reasons Why Short Strategies Should Be Included In Your Portfolio

In our new book, The Alpha Formula – High Powered Strategies to Beat the Market with Less Risk, we show the benefits of including short-strategies in your portfolio. As a reminder, building portfolios should be based on First Principles – otherwise known as truths. These truths are: Markets Go Up Market Go Down Markets Go… [Read More]

Company Info

The Connors Group, Inc.
185 Hudson St., Suite 2500
Jersey City, NJ 07311
www.cg3.com

About Us

About
Careers
Contact Us
Link To Us

Company Resources

Help
Privacy Policy
Return Policy
Terms & Conditions

Properties

TradingMarkets
Connors Research

Connect with TradingMarkets

Contact

info@cg3.com
973-494-7311 ext. 628

Free Book

Short Term Trading Strategies That Work

© Copyright 2020 The Connors Group, Inc.

Copyright © 2023 · News Pro Theme on Genesis Framework · WordPress · Log in