Stocks fell on Monday, with the S&P 500 and Nasdaq erasing early gains as disappointing U.S. factory numbers curbed optimism spurred by positive data on China's economy.

Manufacturing in the United States surprisingly contracted in November, according to the Institute for Supply Management, dropping to its lowest level in more than three years. Economic data has been mixed in recent months, sparking new worries about the pace of economic growth at a time when investors are already concerned about the "fiscal cliff" issue in Washington.

The Dow Jones industrial average .DJI was down 39.57 points, or 0.30 percent, at 12,986.01. The Standard & Poor's 500 Index .SPX was down 3.97 points, or 0.28 percent, at 1,412.21. The Nasdaq Composite Index.IXIC was down 3.22 points, or 0.11 percent, at 3,007.02. (commentary & photo courtesy of Reuters)

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This past week saw our position in ProShares Short QQQ (PSQ) get stopped out. It was just against the flow of the market. Also we bought the previously recommended iShares Silver Trust (SLV).

This week, RSI indeed goes foreign with its calls to buy into Taiwan, Philippines and Switzerland ETFs. Please forgive me as I refer to them as foreign since RSI follows only U.S. traded ETFs. However, many of my blog readers reside offshore to the U.S.

The buy recommendations are:

• iShares MSCI Taiwan Index Fund (EWT)
• iShares MSCI Philippines Investable Market Index Fund (EPHE)
• iShares MSCI Switzerland Index Fund (EWL)

Okay, let’s start with ETW. Since its double peak in 2011 it has had its ups and downs. It stopped its downtrend and is now forging ahead, slowly but surely. Money flow has picked up since early 2012 and it is doing well against the market. It pays a healthy 3.73% yield. At this point it looks good, if you are so inclined to put your money at risk.

Next is the Philippine fund EPHE. It has made great gains since its October 2011 low and it has beaten the market nicely. Money flow has fallen off, but I expect this will rectify once this fund becomes discovered by more market participants. Maybe wait until it pulls back before investing.

Last but not least is EWL which invests in Switzerland. This fund shares some of the same technical characteristics as EWT. It pays a slightly lower yield of 2.58%.  As investors shift to safety, I suspect Switzerland will be more attractive.

Catch you next weekend.