Emerging markets have been clobbered this year, but exchange traded funds that track Mexico and Chinese small-caps are picking up speed off their June low.

David Fabian of Fabian Capital Management on ETF Daily points out that the iShares MSCI Mexico Capped ETF (NYSEArca: EWW) has experienced a sharp rally over the last six weeks. [This LatAm ETF Could be a Leader Again]

EWW has gained 17.2% since its recent low on June 20 and is now testing its long-term 200-day simple moving average. A move above the trend line would mark a significant technical indicator for further upside.

Looking at Mexico, the government is also implementing social and economic reforms that would stir investor demand. Additionally, the recovering U.S. economy will also help our trading partner.

EWW’s top three sectors include consumer staples, telecom services and materials, which make up 61% of the overall portfolio. The fund is also heavily allocated toward America Movil at 18%. The ETF has a 0.50% expense ratio.

Additionally, the Guggenheim China Small Cap ETF (NYSEArca: HAO) has also seen quick rebound over the past couple of weeks.

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