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Technician's bold call: Buy emerging markets now

This is the best-looking emerging markets ETF

With turmoil in China and Greece, emerging markets may look like a risky bet. But according to one technical analyst, this is the perfect time to buy into those global stocks.

"Over the past six years, emerging markets have done absolutely nothing. But there's been one way to make money," said Evercore ISI's head of technical analysis, Rich Ross.

The key, he said, has been to buy emerging markets on the lows, sell on the highs and repeat.

Since mid-2009, the MSCI Emerging Markets ETF (EEM) has traded in a predictable range between $37 and $45. Ross points out seven times the ETF has rallied after falling close to the $37 level in the past six years.

With the ETF dropping just below $37 and beginning to recover, "this is where the magic happens," he said Thursday on CNBC's "Power Lunch."

"I think history repeats itself, and this presents an excellent buying opportunity," he said.

China has a heavy weighting in the ETF, at 22 percent, but a wide range of countries including South Korea, Taiwan, India and South Africa are also represented.

"I like emerging markets. I think you have to have some of it in your portfolio, and I like EEM—that's where you're going to get that broader emerging market exposure," Susquehanna Financial's head of derivative strategy, Stacey Gilbert, said Thursday.

Still, Gilbert recommends using bullish options in order to limit risk, rather than simply buying the ETF outright.

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