🔥🔥 Three more ETF insights: ARK, QQQ, Utilities
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Today’s big ETF insights :
ARK INNOVATION ETF sets up for +15.1% rally in 3 months
INVESCO QQQ sets up for +6% rally in 2 months
UTILITIES SECTOR SPDR sets up for +6.2% rally in 3 months
For more investment insights, please visit us at www.LongShortBets.com
(1) Score 8.5 (out of 10): ARK INNOVATION ETF sets up for +15.1% rally in 3 months
What’s Going On Here?
Market commentator, Jim Cramer, has said that he likes most of Ark Innovation ETF’s top holdings after the recent growth stock meltdown. The “Mad Money” host has said that growth stocks have fallen far enough that averaging into positions makes sense.
Why Now?
ARK INNOVATION ETF has triggered a new high volatility signal (3 month). During similar occasions, ARK INNOVATION ETF shares had a median return of +15.1%, over the following 3 months – based on 10 historical occasions with 9 of those showing positive returns (90%). This buy signal for ARK INNOVATION ETF received a high score of 8.5 (out of 10). This insight was generated on 2022- February-3 with last price of 69.04.
What’s This Company About?
ARK INNOVATION ETF is an ETF for growth innovation companies. Based on the last 2 years’ risk/return profile, this asset is seen as Very Risky. Ticker symbol: ARKK US.
What’s My Risk / Reward and Time Horizon?
We found 3 months to be the optimal trade horizon, after testing a number of possible alternatives (accuracy of previous returns). Otherwise consider closing out this trade once the target level of 79.43 (+15.1%) has been reached. Based on ARK INNOVATION ETF’s recent up and down swings, LongShortBets suggests considering to set a stop loss level for this insight at 66.54 (last price at 69.04), which is equivalent to a -3.6% decline.
You might also like: Score 8.9 (out of 10): NVIDIA sets up for +13.4% rally in 2 months
(2) Score 9.8 (out of 10): INVESCO QQQ sets up for +6% rally in 2 months
What’s Going On Here?
Some investors continue to bet against tech stocks. Short Interest in the QQQ tech ETF has climbed for 7 consecutive days while others leveraged. inverse ETFs have also seen inflows. But are these investor wrong sided after the recent correction?
Why Now?
INVESCO QQQ TRUST has triggered a new high volatility signal (3 month). During similar occasions, INVESCO QQQ TRUST shares had a median return of +6%, over the following 2 months – based on 10 historical occasions with 10 of those showing positive returns (100%). This buy signal for INVESCO QQQ TRUST received a high score of 8.6 (out of 10). This insight was generated on 2022-February-3 with last price of 355.
What’s This Company About?
INVESCO QQQ TRUST is in the Sector Fund-Technology business. Based on the last 2 years’ risk/return profile, this asset is seen as Less Risky. Ticker symbol: QQQ US.
What’s My Risk / Reward and Time Horizon?
We found 2 months to be the optimal trade horizon, after testing a number of possible alternatives (accuracy of previous returns). Otherwise consider closing out this trade once the target level of 374.68 (+6%) has been reached. Based on INVESCO QQQ TRUST’s recent up and down swings, LongShortBets suggests considering to set a stop loss level for this insight at 351.05 (last price at 353.55), which is equivalent to a -0.7% decline.
You might also like: Score 8.8 (out of 10): LAM RESEARCH poised to seasonally rally by +10.6% during the next 90 days
(3) Score 9.1 (out of 10): UTILITIES SECTOR SPDR sets up for +6.2% rally in 3 months
What’s Going On Here?
There might be a ‘4-month’ cycle in place for the Utility sector as the previous shorter term lows were all 4 months apart: Feb 2022, Oct 2021, June 2021 and Feb 2021. Nevertheless, the data indicates that the next few months could be promising.
Why Now?
UTILITIES SELECT SECTOR SPDR has triggered a new technical analysis ‘rally reversal’ signal. During similar occasions, UTILITIES SELECT SECTOR SPDR shares had a median return of +6.2%, over the following 3 months – based on 10 historical occasions with 9 of those showing positive returns (90%). This buy signal for UTILITIES SELECT SECTOR SPDR received a high score of 9.1 (out of 10). This insight was generated on 2022-February-3 with last price of 69.03.
What’s This Company About?
UTILITIES SELECT SECTOR SPDR is in the Sector Fund-Utility business. Based on the last 2 years’ risk/return profile, this asset is seen as Moderate Risk. Ticker symbol: XLU US.
What’s My Risk / Reward and Time Horizon?
We found 3 months to be the optimal trade horizon, after testing a number of possible alternatives (accuracy of previous returns). Otherwise consider closing out this trade once the target level of 73.31 (+6.2%) has been reached. Based on UTILITIES SELECT SECTOR SPDR’s recent up and down swings, LongShortBets suggests considering to set a stop loss level for this insight at 66.53 (last price at 69.03), which is equivalent to a -3.6% decline.
For more investment insights, please visit us at www.LongShortBets.com