Posts

EWY South Korea ETF

One of our current positions is EWY the South Korean ETF. We went long a few weeks ago in our model portfolio based on the trend, valuation, and economic characteristics of South Korean stocks.

EWY-South Korea ETF

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Another factor that got us into EWY was the increasing number of Asian countries that have been coming up in our global stock model. Our global stock model looks at technical, economic, fundamental, and sentiment indicators to help find foreign stock indexes that meet our risk to reward criteria.

Apparently we are not the only ones to have found an opportunity in South Korea as the Oracle himself WarrenB apparently is getting long some South Korean stocks as well.

In order to catch our trades in foreign stocks as well as other asset classes like US stocks, bonds, currencies, and commodities then sign up for a quarterly or annual subscription to The Macro Trader weekly newsletter with frequent intra-week updates.

Happy Trading,

Dave@TheMacroTrader.com

UNG Natural Gas ETF

In our newsletter this week we went long some UNG-Natural Gas and it is working out well. The long term supply and demand characteristics were very favorable around the recent lows and we had a good technical picture as well. As you can see in the chart below UNG has exploded to the upside on extremely high volume. To put where natural gas is in perspective we also included a longer term chart showing the past 14 months.


UNG-Natural Gas ETF

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UNG-Natural Gas Long Term Chart

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Happy Trading,

Dave@TheMacroTrader.com

P.S. If you don’t want to miss out on more trades then subscribe to our weekly newsletter where we provide research on Domestic Equities, Foreign Equities, Fixed Income, Commodities, and Currencies along with a model portfolio. If you are interested in going beyond US stocks to generate returns in any market, we at The Macro Trader can help.

Our Long Global ETF/Closed End Fund Watch List

As we have previously mentioned we run a Global Stock Model that essentially tries to be in the best countries. While we often trade ADR’s and have traded open ended mutual funds for the most part we trade the ETF’s. Occasionally that is not possible so if we can find a Closed End Fund that is correlated to the country index we will use that instead.

We keep a watch list of countries meeting our Stock and Interest Rate criteria and if they reach our entry prices we will buy them. We typically will only enter the top 5 on our list but depending on the geographic location of the countries, the macro-environment, valuation, and several other criteria we will buy other ones instead of or as well as the top 5. For a better idea of what goes into individual country criteria read this post on Singapore EWS.

We will go over our actual entries in greater depth in later posts. But essentially we look to buy in solid up-trends using breakouts and pullbacks. We are also addicted to risk management. If we can’t find a low risk entry we will wait. In our Newsletter we provide specific entries, exits, and stops for all of our positions. We don’t adhere to any profit target method but instead move our stops up as a position moves in our favor. We find this allows us to ride trends past where we “think” they should end while still using good risk management. As noted earlier we will cover a lot of this in later posts and cover it all in our Newsletter.

Back to the subject title here in order of geographic regions is our Long Global ETF/Closed End Fund watch list.

EWU-Great Britain ETF
EWU Great Britain United Kingdom ETF

EWQ- France ETF
EWQ France ETF

EWG-Germany ETF
EWG Germany ETF

EWP-Spain ETF
EWP Spain ETF

EWL-Switzerland ETF
EWL Switzerland ETF

EWN-Netherlands ETF
EWN Netherlands ETF

VGK-Europe ETF
VGK Euro ETF

EWC-Canada ETF
EWC Canada ETF

EWH-Hong Kong ETF
EWH Hong Kong ETF

EWM Malaysia ETF

EWS-Singapore ETF
EWS Singapore ETF

INP-India ETF
INF India ETF

RSX-Russia ETF
RSX Russia ETF

TKF-Turkey Closed End Fund
TKF Turkey Closed End Fund CEF

EWZ-Brazil ETF
EWZ Brazil ETF

If you have any questions, comments, ideas, etc. Feel free to contact us here.

Happy Trading,
The Macro Trader