The MSCI Argentina ETF $ARGT has been an absolute beast, finishing 2024 as the best-performing country ETF, with a jaw-dropping gain of 63.50%.
The series of higher highs and higher lows remains firmly intact, and it doesn’t look like the trend will change anytime soon.
Javier Milei’s ascent to the presidency in November 2023 has been a key driving force behind this recent surge.
His free-market policies, emphasis on entrepreneurship, and commitment to economic growth have been a game-changer, attracting investor attention from every corner of the globe.
Investors with exposure to Argentina have been richly rewarded by the market as ARGT continues to climb higher, hitting new objectives one after the next.
As long as we’re above 78, the bias is clearly higher.
Compared to other countries, Argentina is standing tall as a clear leader.
Here’s a look at ARGT/ACWI ratio breaking out of a 15-year base:
The relative strength here is literally off the charts with ARGT making fresh record highs vs global equities.
And when you look beneath the surface, individual components have been going parabolic.
One particular stock that catches my eye is Grupo Financiero Galicia $GGAL:
GGAL has been rallying in a near-vertical line for the last few months and prices are now back at the 2018 highs.
Will it blast right through these former highs or do bulls have to absorb the remaining overhead supply at this resistance zone first?
While the stock appears overextended in the short term and is at a logical place to pause and digest gains, I remain inclined to trust the strength of the underlying trend—particularly if it manages to reclaim the 73 level.
Argentina is one of the most promising markets, with its recent leadership positioning it as a strong candidate for continued upside in the coming years.
I’d love to visit this country someday—great wine, incredible meat, and the land of soccer legends.
What could be better than that?
Sean just closed a bullish trade on another Argentinian stock, hitting his profit target. Curious about the details?Click here to see the trade.
