Big movements in SQQQ ETF price on Friday moving 11.00% between high and low

The SQQQ ETF price fell by -7.06% on the last day (Friday, 21st Oct 2022) from $58.19 to $54.08. During the last trading day the ETF fluctuated 11.00% from a day low at $53.72 to a day high of $59.63. The price has risen in 6 of the last 10 days but is still down by -8.45% for this period. Volume has increased on the last day by 21 million shares but on falling prices. This may be an early warning and the risk will be increased slightly over the next couple of days. In total, 166 million shares were bought and sold for approximately $8.96 billion.

The ETF lies in the lower part of a very wide and strong rising trend in the short term, and this may normally pose a very good buying opportunity. If the lower trend floor at $51.93 is broken, it will firstly indicate a slower rate of rising, but may also be an early warning for a trend shift.Given the current short-term trend, the ETF is expected to rise 59.16% during the next 3 months and, with a 90% probability hold a price between $82.66 and $105.53 at the end of this 3-month period.

A sell signal was issued from a pivot top point on Friday, October 14, 2022, and so far it has fallen -16.00%. Further fall is indicated until a new bottom pivot has been found. Furthermore, there is currently a sell signal from the 3 month Moving Average Convergence Divergence (MACD). Volume rose on falling prices yesterday. This may be an early warning and the ETF should be followed more closely. Some positive signals were issued as well, and these may have some influence on the near short-term development. The SQQQ ETF holds a sell signal from the short-term moving average; at the same time, however, there is a buy signal from the long-term average. Since the short-term average is above the long-term average there is a general buy signal in the ETF giving a positive forecast for the stock. On further gains, the ETF will meet resistance from the short-term moving average at approximately $58.22. On a fall, the ETF will find some support from the long-term average at approximately $53.45. A break-up through the short-term average will send a buy signal, whereas a breakdown through the long-term average will send a sell signal.

SQQQ finds support from accumulated volume at $53.68 and this level may hold a buying opportunity as an upwards reaction can be expected when the support is being tested.

This ETF has average movements during the day and with good trading volume, the risk is considered to be medium. During the last day, the ETF moved $5.91 between high and low, or 11.00%. For the last week, the ETF has had daily average volatility of 8.02%.

Several of the signals/indicators are negative, and we believe that this will affect on the development for the next days and maybe possible weeks. However, over time, we think that today's level holds a possible buying opportunity and that the price will be higher during or at the end of this 3-month period.