On down market days one of favorite things to do is set my technical scans looking for names that are performing well among the sea of red.

Brazil FlagToday we find the Brazil ETF (EWZ, quote) with some bullish technical activity.

Looking at the daily chart of EWZ we find price action cleared the upper range of consolidation of $50 and is trading above the $50 level after Friday’s break. We have confirmation of the move not only on Thursday’s heavy volume but also through the MACD and RSI indicators as well.

Option activity is also seeing bullish activity with over 19.7k call contracts traded at the time of this post with a single order of 11k contracts at the SEP 60 Calls as well volume activity outpacing open interest in the AUG14 weekly(5).

Now we do have the gap up between the Thursday and Friday session. We may or may not see a backfill, however, recent past gaps higher and lower have not been backed fill.

Here’s my game plan for EWZ…

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