MSCI Brazil Index Fund: Buy At $40.35

 | Feb 07, 2014 12:28AM ET

From a technical view, the ETF is shaping a tentative symmetrical triangle since we can see two market reactions around the 76.4% Fibonacci retracement (April 2011 and February 2014) for now. Regarding technical indicators, both the monthly RSI and the monthly MACD are facing a support area. On a relative basis against the IVV S&P500, the iShares MSCI Brazil Index Fund is reversing up from the 76.4% Fibonacci retracement of the entire up move started in 2002.

Trading strategy:

Buy at $40.35 - Stop loss at $37.80 - Target at $57.25