While US stock markets have punched through what appeared to be a double top made at the beginning of November (“Top Gun FP Client Note: Double Top”, originally sent November 22, 2010), BRIC stock markets – excluding Russia – have not made new highs and have been weak since then:
- The Brazilian lBovespa is down 8.8% from its November 4, 2010 high.
- The Indian Sensex is down 12.4% from its November 5, 2010 high.
- The Chinese Shanghai Composite is down 12.4% from its November 11, 2010 high.
(Note: These charts are off by one month. Oct-10 should read Nov-10, Nov-10 should read Dec-10, etc…)
(Source: “Some BRICs Are Crumbling”, BeSpoke Investment Group, January 30)
Also see: “As Year Ends, BRICs Are Not So Solid”, Michael Kahn, Getting Technical, Barron’s, December 15, 2010.