Traders,

One way to diversify is by region or country. When you look at the practices of institutions and stewards of pooled capital you notice a few recurring themes. Those who build portfolios with global diversification put money in the U.S. and abroad. The U.S. usually commands the largest chunk because it accounts for a larger percentage of global GDP than any other country.

When investing internationally you’ll see two primary groups: foreign developed and emerging markets. The first consists of countries that look more like the U.S. They have a higher standard of living and boast similar growth patterns. The EAFE Index is the most common vehicle used to track the performance of companies in these countries. It stands for Europe, Australasia, Far East. There are dozens of ETFs that track the EAFE Index or its equivalent including EFA and VEA.

Emerging Markets include countries with a lower standard of living that have the potential for higher growth. Once upon a time they were called the BRIC countries and include such giants as Brazil, Russia, India, and China. You can use ETFs like EEM, VWO, or IEMG to trade and track these guys.

One benefit to tracking areas outside the U.S. is you get a global, more comprehensive view to your analysis.

Another perk is you get more trade ideas. Sometimes EFA and EEM move to the beat of their own drum and offer up patterns that aren’t available from the likes of SPY and IWM.

---

Video of the Day: Frank’s Charts: Hot Potential Swing Trading Picks

Watch this clip with Coaches Frank and Matt where they share a few charts and discuss potential Swing Trading Picks

---

Chart of the Day: U.S. Vs Foreign Stocks

Sometimes foreign stocks lead (purple), other times U.S. stocks lead (gray). ‘Merica has been dominating for well over a decade this go around.

---

Today’s line up

Traders Lounge 11 AM EST

Join the coaches in this live lounge, ask questions, discuss ideas or just sit back and listen to veteran traders discuss market conditions.

Halftime Report 12:30 PM EST

The Halftime Report starts at 12:30 EST and covers what news is driving the market, chart analysis from the movers and shakers of the day, and fun in a way that only the coaches at Tackle Trading can deliver.

Coaching MasterMind Group 8:30 PM EST

In these MasterMind Group sessions, our coaching students are joined by coaches at Tackle Trading for an advanced topic.

Weekend Reports

Watch the Stock, Options, Commodity, and Tackle Newsletter Reports to help you prepare for the week.

---

Financial freedom is a journey

Sign up now and gain unfettered access to all of the quality content and powerful Scouting Reports that our Pro Members enjoy for 15-days absolutely free with no strings attached and let us show you what your trading has been missing.

---

Legal Disclaimer

Tackle Trading LLC (“Tackle Trading”) is providing this website and any related materials, including newsletters, blog posts, videos, social media postings and any other communications (collectively, the “Materials”) on an “as-is” basis. This means that although Tackle Trading strives to make the information accurate, thorough and current, neither Tackle Trading nor the author(s) of the Materials or the moderators guarantee or warrant the Materials or accept liability for any damage, loss or expense arising from the use of the Materials, whether based in tort, contract, or otherwise. Tackle Trading is providing the Materials for educational purposes only. We are not providing legal, accounting, or financial advisory services, and this is not a solicitation or recommendation to buy or sell any stocks, options, or other financial instruments or investments. Examples that address specific assets, stocks, options or other financial instrument transactions are for illustrative purposes only and are not intended to represent specific trades or transactions that we have conducted. In fact, for the purpose of illustration, we may use examples that are different from or contrary to transactions we have conducted or positions we hold. Furthermore, this website and any information or training herein are not intended as a solicitation for any future relationship, business or otherwise, between the users and the moderators. No express or implied warranties are being made with respect to these services and products. By using the Materials, each user agrees to indemnify and hold Tackle Trading harmless from all losses, expenses and costs, including reasonable attorneys’ fees, arising out of or resulting from user’s use of the Materials. In no event shall Tackle Trading or the author(s) or moderators be liable for any direct, special, consequential or incidental damages arising out of or related to the Materials. If this limitation on damages is not enforceable in some states, the total amount of Tackle Trading’s liability to the user or others shall not exceed the amount paid by the user for such Materials.

All investing and trading in the securities market involves a high degree of risk. Any decisions to place trades in the financial markets, including trading in stocks, options or other financial instruments, is a personal decision that should only be made after conducting thorough independent research, including a personal risk and financial assessment, and prior consultation with the user’s investment, legal, tax and accounting advisers, to determine whether such trading or investment is appropriate for that user.