iShares MSCI Emerging Market (EEM, quote) is well through the 200 day moving average on shutdown “Monday”.
As we said post-Fed no reason to chase the emerging market ETFs on the expectation of no-taper not only because that is not our view but because it’s not accurate.
Fund flows of $30 billion left emerging markets over 15 weeks from first Bernanke taper comments to the week before the Fed meeting.
But even if the Fed were to delay taper, it doesn’t mean this money flows right back in. Remember also that this is quarter end and there are plenty who might dress the window after big Q3 emerging market run.
Best place to start to nibble technically is the 50 day moving average or $39.80 level.
