Below is an updated look at our country trading range screen featuring the 30 largest country ETFs traded on US exchanges. For each ETF, the dot represents where it’s currently trading, while the tail end represents where it was trading one week ago. Moves into the green zone are considered oversold, while moves into the red zone are considered overbought.
Global investors certainly don’t have to worry about overbought markets right now, as just one country (Chile) is trading in overbought territory. Plenty of countries are oversold, however. As shown below, 15 of 30 countries are at oversold levels, with Sweden, Vietnam, and the US the most extended to the downside.
The US is usually an area of the world that holds up better than most when global markets decline in tandem, but this time the US is leading the way. This is a pretty good indication that election worries here in the US have been a primary driver of the declines in recent days.