The iShares MSCI Brazil Capped ETF (NYSEArca: EWZ), the largest Brazil ETF by assets, climbed nearly 4% Thursday, but a deeper look at the moribund ETF’s charts says Thursday’s positive action does not mark an earnest reversal.

EWZ’s Thursday pop arrived a day after the ETF hit a six-year low with four other Brazil funds hitting new 52-week lows. On Wednesday roughly half of the ETFs that touched all-time lows were Brazil funds, a sign that ETFs tracking Latin America’s largest economy have a long way to go to earn back investors’ trust. [Giving up on Brazil ETFs]

Charts say the road to redemption for EWZ and other Brazil ETFs is getting longer, not shorter.

“The six month Heiken-Ashi chart tells the story of an ETF that continues to cascade lower, rebounding occasionally only to be rejected by the 50 day moving average. Despite the new lows yesterday, EWZ is not yet oversold and the rate of change is still well above earlier levels that marked near-term lows,” writes Sal Cilella for See It Market.

As See It Market’s chart below illustrates, EWZ has continually commits a significant bearish offense by repeatedly making lower highs and lower lows. Making matters worse is the ETF’s inability to stay above its 50-day moving average. EWZ closed 4.5% below its 50-day line Thursday.

Chart Courtesy: See It Market