Direxion Daily Energy Bear 2X Shares ETF Forecast
Explanation to Bollinger's Bands
Bollinger Bands was created by John Bollinger in the early 1980s, its purpose is to define price action relative to the assets highs and lows. This technical indicator is used to identify buy and sell signals and has proven very well in doing so.
Bollinger Bands consist of a set of three curves drawn in relation to securities prices. The middle band is a measure of the intermediate-term trend, usually a simple moving average, that serves as the base for the upper and lower bands. The interval between the upper and lower bands and the middle band is determined by volatility, typically the standard deviation of the same data that were used for the average. StockInvest.us uses Bollingers suggested 20 day average.
Middle Bollinger Band = 20-period simple moving average
Upper Bollinger Band = Middle Bollinger Band + 2 * 20-period standard deviation
Lower Bollinger Band = Middle Bollinger Band - 2 * 20-period standard deviation
BandWidth defines the current width of the band.
%b defines the current position within the band.
BandWidth = (Upper Bollinger Band - Lower Bollinger Band) / Middle Bollinger Band
%b = (Last - Lower Bollinger Band) / (Upper Bollinger Band - Lower Bollinger Band)
Live Samples:
Bottlenecks in bandwidth indicate an upcoming change. Break up through the moving average line or continuous movements above the moving average line indicate a break up, and vice versa.
Source: http://www.bollingerbands.com
Direxion Daily Energy Bear 2X Shares ETF upgraded to Buy Candidate.
(Updated on May 03, 2024)
The Direxion Daily Energy Bear 2X Shares ETF price gained 0.265% on the last trading day (Friday, 3rd May 2024), rising from $22.66 to $22.72. During the last trading day the ETF fluctuated 2.78% from a day low at $22.66 to a day high of $23.29. The price has fallen in 5 of the last 10 days but is still up by 5.38% over the past 2 weeks. Volume fell on the last day by -78 thousand shares and in total, 361 thousand shares were bought and sold for approximately $8.19 million. You should take into consideration that falling volume on higher prices causes divergence and may be an early warning about possible changes over the next couple of days.
Given the current short-term trend, the ETF is expected to fall -26.96% during the next 3 months and, with a 90% probability hold a price between $12.71 and $16.60 at the end of this 3-month period. Do note, that if the stock price manages to stay at current levels or higher, our prediction target will start to change positively over the next few days as the conditions for the current predictions will be broken.
Ready to grow your portfolio? Here's your beginner's guide to opening a free brokerage account.
ERY Signals & Forecast
Mostly positive signals in the chart today. The Direxion Daily Energy Bear 2X Shares ETF holds buy signals from both short and long-term Moving Averages giving a positive forecast for the stock. Also, there is a general buy signal from the relation between the two signals where the short-term average is above the long-term average. On corrections down, there will be some support from the lines at $21.94 and $21.63. A breakdown below any of these levels will issue sell signals. A buy signal was issued from a pivot bottom point on Friday, April 05, 2024, and so far it has risen 13.03%. Further rise is indicated until a new top pivot has been found. Furthermore, there is a buy signal from the 3 month Moving Average Convergence Divergence (MACD). Volume fell during the last trading day despite gaining prices. This causes a divergence between volume and price and it may be an early warning. The ETF should be watched closely.
Support, Risk & Stop-loss for Direxion Daily Energy Bear 2X Shares ETF
Direxion Daily Energy Bear 2X Shares finds support from accumulated volume at $22.23 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 $0.630 between high and low, or 2.78%. For the last week, the ETF has had daily average volatility of 3.55%.
Our recommended stop-loss: $21.53 (-5.22%) (This ETF has medium daily movements and this gives medium risk. There is a buy signal from a pivot bottom found 20 days ago.)
Trading Expectations (ERY) For The Upcoming Trading Day Of Monday 6th
For the upcoming trading day on Monday, 6th we expect Direxion Daily Energy Bear 2X Shares to open at $22.89, and during the day (based on 14 day Average True Range), to move between $21.99 and $23.45, which gives a possible trading interval of +/-$0.729 (+/-3.21%) up or down from last closing price. If Direxion Daily Energy Bear 2X Shares takes out the full calculated possible swing range there will be an estimated 6.42% move between the lowest and the highest trading price during the day.
Since the stock is closer to the resistance from accumulated volume at $22.93 (0.92%) than the support at $22.23 (2.16%), our systems don't find the trading risk/reward intra-day attractive and any bets should be held until the stock is closer to the support level.
Is Direxion Daily Energy Bear 2X Shares ETF A Buy?
Several short-term signals are positive, despite the ETF being in a falling trend, we conclude that the current level may hold a buying opportunity as there is a fair chance for ETF to perform well in the short-term. We have upgraded our analysis conclusion for this ETF since the last evaluation from a Hold/Accumulate to a Buy candidate.
Current score: 1.126 Buy Candidate Upgraded
Predicted Opening Price for Direxion Daily Energy Bear 2X Shares of Monday, May 6, 2024
| Fair opening price May 6, 2024 | Current price |
|---|---|
| $22.89 ( 0.748%) | $22.72 |
The predicted opening price is based on yesterday's movements between high, low, and closing price.
Trading levels for ERY
Fibonacci Support & Resistance Levels
| Level | Price | |||
|---|---|---|---|---|
| Resistance | R3 | 23.52 | 3.52 % | |
| R2 | 23.28 | 2.46 % | ||
| R1 | 23.13 | 1.81 % | ||
| Current price: | 22.72 | |||
| Support | S1 | 22.65 | -0.311 % | |
| S2 | 22.50 | -0.97 % | ||
| S3 | 22.26 | -2.02 % |
Accumulated Volume Support & Resistance Levels
| Level | Price | |||
|---|---|---|---|---|
| Resistance | R3 | 26.90 | 18.40 % | |
| R2 | 26.10 | 14.88 % | ||
| R1 | 22.93 | 0.92 % | ||
| Current price | 22.72 | |||
| Support | S1 | 22.23 | -2.16% | |
| S2 | 21.35 | -6.03% | ||
| S3 | 20.99 | -7.61% |
ERY Dividend Payout History
| # | Ex-Date | Pay Date | Amount | Yield | |
|---|---|---|---|---|---|
| 1 | Jan 18, 2024 | Mar 19, 2024 | Mar 26, 2024 | $0.370 | 1.64% |
| 2 | Dec 21, 2023 | Dec 21, 2023 | Dec 21, 2023 | $0.234 | 0.86% |
| 3 | Feb 10, 2023 | Sep 19, 2023 | Sep 26, 2023 | $0.238 | 0.96% |
| 4 | Feb 10, 2023 | Jun 21, 2023 | Jun 28, 2023 | $0.324 | 1.01% |
| 5 | Feb 10, 2023 | Mar 21, 2023 | Mar 28, 2023 | $0.361 | 1.12% |
FAQ
Click here for our free guide on how to buy Direxion Daily Energy Bear 2X Shares ETF.
