EIDO had gotten a long ways away/above its 200-week moving average. Risks of a major correction, as a result, were high. It did pull back to its 200-week SMA.
Emerging markets are volatile. Yet this emerging market ETF is still trending higher. And for the chartist, we know ahead of time when risks of a large percentage pullback are there because of how far the price stretches away from these major moving averages. It gives us a tip off to what's likely to come, ahead of time.