It follows that Asian countries are fundamentally solid; they will have little trouble paying back their debts. What's more, the currencies should continue to appreciate against the greenback, albeit at a rocky, uneven pace. Nevertheless, being paid in local currencies makes it possible to profit from Asian currency appreciation as well as bond yield interest. Even though recent safe-haven purchasing of the U.S. dollar has caused ALD to pull back from its peak, this exchange-traded dynamo has rocketed to $450 million in assets in a matter of months. Current low volume suggests that this is one ETF that investors plan to keep, not trade.
In trading on Friday, shares of the WisdomTree Asia Local Debt Fund ETF entered into oversold territory, changing hands as low as $47.2919 per share. We define oversold territory using the Relative Strength Index, or RSI, which is a technical analysis indicator used to measure momentum on a scale of zero to 100.