The emerging markets ETF (EEM) had been in a strong uptrend all year, as you can see in the chart below (pulled using our free Chart Tool). It’s about as picture-perfect of an uptrend as you’ll find. Every time the ETF tested support at the bottom of its uptrend channel, it bounced, and every time it tested the top end of the channel, it pulled back. That changed today, however, as the ETF finally broke down below the bottom of its channel. With this support now broken, the year-long uptrend that was in place for EEM is now no more.

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