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With crude oil pressures subsiding on Friday, sellers were aggressive in energy and materials ETFs. Financials were also coming under distribution by traders and investors. Among country funds, ETFs from France to Taiwan were pulling back toward oversold territory above the 200-day moving average.
Here are 7 ETFs You Need to Know for Monday.
Down intraday more than 4%, the Oil Service HOLDRs (OIH | Quote | Chart | News | PowerRating) rallied from its lows to close down less than 1% on Friday. The late rally helped prevent OIH from slipping into oversold territory above its 200-day moving average.
Trading for the past five sessions in a narrow two-point range just below its 200-day moving average is the ProShares Ultra Basic Materials ETF (UYM | Quote | Chart | News | PowerRating), which was off more than 2% intraday on Friday.
One day of overbought condition below the 200-day moving average was all it took to bring out sellers in the SPDR KBW Regional Bank ETF (KRE | Quote | Chart | News | PowerRating), which was down more than 3% intraday on the final trading day of the week.
Opening on Friday at its highest level in more than three months but reversing to close down for the day was the iShares Dow Jones Real Estate Index ETF (IYR | Quote | Chart | News | PowerRating).
After six consecutive up days, the PowerShares QQQ Trust ETF (QQQQ | Quote | Chart | News | PowerRating) finally closed lower on the day on Friday, recovering from its worst levels of the day after a gap up and sell off shortly after the open.
Both the iShares MSCI France Index ETF (EWQ | Quote | Chart | News | PowerRating) and the iShares MSCI Taiwan Index ETF (EWT | Quote | Chart | News | PowerRating) are both examples of the many country ETFs that are becoming increasingly oversold above their 200-day moving averages. EWT is especially oversold, having closed lower for four consecutive trading days and earnings a 2-period RSI of less than 8.
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