Sellers Send Tech, Emerging Markets Lower; India Drops Below 200-Day: 7 ETFs You Need to Know for Tuesday

Traders will be on the lookout to see whether or not weakness in the stock market late in Monday’s session extends into Tuesday. Selling in technologies – as well as in a number of emerging market stocks such as India’s – may be a signal of greater and wider profit-taking to come here in the first week of May.

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Here are 7 ETFs You Need to Know for Tuesday.

In addition to the ^INP^, which dropped below its 200-day moving average yesterday, sellers have been aggressive in the market for shares of the ^EPI^, which are also now trading below its 200-day moving average after closing lower for four days in a row.

Among those country funds that have sold off and pulled back – but remain above their 200-day moving averages are the ^RSX^ (below).

RSX chart

and the ^EWA^ (below).

EWA chart

The RSX effectively has been rangebound for the past eight trading days. Heading into trading on Tuesday, the ETF is now back at the lower end of that range and trading in oversold territory.

By contrast, the EWA has pulled back for the past two days in a row, with Monday’s close putting the fund in oversold territory ahead of Tuesday’s open.

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Down by more than 3% on Monday was the ^GDX^ (below).

GDX chart

The GDX has closed lower for four out of the past six trading days and is trading at its lowest level in a month.

Profit-taking in technologies that began on Friday picked up speed on Monday, sending the ^XLK^ lower for a second day in a row. Down two out of the past three trading days is the ^SMH^.

David Penn is Editor in Chief of TradingMarkets.com