New Zealand is one of the few markets that is bucking the trend — its agriculture-based economy fairly insulated from the global down-turn. ENZL, the MSCI New Zealand ETF, recovered above its former primary support level at 31.50 after strong bullish divergence on 13-week Twiggs Money Flow. While technically still a bear market, retracement that respects the new support level of 31.50 would confirm a test of 34.
The gap from Aug 3rd to Aug 4th will offer resistance and you can expect a retracement back down to at least the intermediate high of $31.93. The wave count indicates a test of $34.
The slow Stochostic -60 minute – indicates that the gap will offer resistance and a retracement.