A bullish long-term turnaround is developing in this country ETF, according to the charts

Global breadth has expanded to such a degree that even the laggards have turned the corner. Australia’s stock market, for one, should be on everyone’s radar. A bullish long-term turnaround has developed in the iShares MSCI Australia ETF (EWA) , which broke out from a long-term triangle pattern late last year in a positive technical catalyst. Long-term momentum is now positive behind EWA, and it is less overbought than many country ETFs. A corrective phase unfolded in January, refreshing the ETF’s intermediate-term uptrend. EWA has since cleared minor resistance from late January and has the support of short-term momentum gauges, reflected by the daily MACD and the weekly stochastics. EWA has a heavy weighting (approximately 17%) in mining stocks, which is compelling with gold on the verge of new all-time highs. EWA’s largest constituent, base metals stock BHP Group Ltd (BHP AU), is showing short-term signs of downside exhaustion that supports a rebound. The daily cloud model, which flattens out to around $23.50 by the middle of this month, is an initial gauge of support on the chart of EWA to help manage risk. An intermediate-term objective can be gauged by next major resistance near $26.60, which goes back to 2021. —Katie Stockton with Will Tamplin Access research from Fairlead Strategies for free here . DISCLOSURES: (None) THE ABOVE CONTENT IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY . THIS CONTENT IS PROVIDED FOR INFORMATIONAL PURPOSES ONLY AND DOES NOT CONSITUTE FINANCIAL, INVESTMENT, TAX OR LEGAL ADVICE OR A RECOMMENDATION TO BUY ANY SECURITY OR OTHER FINANCIAL ASSET. THE CONTENT IS GENERAL IN NATURE AND DOES NOT REFLECT ANY INDIVIDUAL’S UNIQUE PERSONAL CIRCUMSTANCES. THE ABOVE CONTENT MIGHT NOT BE SUITABLE FOR YOUR PARTICULAR CIRCUMSTANCES. BEFORE MAKING ANY FINANCIAL DECISIONS, YOU SHOULD STRONGLY CONSIDER SEEKING ADVICE FROM YOUR OWN FINANCIAL OR INVESTMENT ADVISOR. Click here for the full disclaimer. 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