Franklin Liberty High Yield Corporate ETF Forecast

Franklin Liberty High Yield Corporate ETF upgraded from Sell Candidate to Hold/Accumulate after Thursday trading session.
(Updated on May 02, 2024)

FLHY Signals & Forecast

Furthermore, there is a buy signal from the 3 month Moving Average Convergence Divergence (MACD). Franklin Liberty High Yield Corporate has increased volume and follows the last lift in the price. This is considered to be a technical positive sign as volume should follow the price-formation. Higher liquidity also reduces the general risk. Some negative signals were issued as well, and these may have some influence on the near short-term development. The Franklin Liberty High Yield Corporate ETF holds a buy signal from the short-term Moving Average; at the same time, however, the long-term average holds a general sell signal. Since the longterm average is above the short-term average there is a general sell signal in the ETF giving a more negative forecast for the stock. On further gains, the ETF will meet resistance from the long-term Moving Average at $23.49. On a fall, the ETF will find some support from the short-term average at $23.41. A break-up through the long-term average will give another buy signal, while a fall below the short-term average will add another sell signal and strengthen the general signal. A sell signal was issued from a pivot top point on Monday, April 29, 2024, and so far it has fallen -0.213%. Further fall is indicated until a new bottom pivot has been found. The ETF had a Golden Star Signal on Friday, June 09, 2023 in the long-term chart.

Golden Star Signal is when the short-term moving average, the long-term moving average, and price line meet in a special combination. This combination is very rare and often followed by long and strong gains for the ETF in question.

Support, Risk & Stop-loss for Franklin Liberty High Yield Corporate ETF

Franklin Liberty High Yield Corporate finds support from accumulated volume at $23.37 and this level may hold a buying opportunity as an upwards reaction can be expected when the support is being tested.

In general the ETF tends to have very controlled movements and with good liquidity the risk is considered very low in this stock. During the last day, the ETF moved $0.140 between high and low, or 0.600%. For the last week the ETF has had daily average volatility of 0.437%.

Our recommended stop-loss: $22.50 (-3.99%) (This ETF has low daily movements and this gives low risk. There is a sell signal from a pivot top found 3 days ago.)

Trading Expectations (FLHY) For The Upcoming Trading Day Of Friday 3rd

For the upcoming trading day on Friday, 3rd we expect Franklin Liberty High Yield Corporate ETF to open at $23.41, and during the day (based on 14 day Average True Range), to move between $23.33 and $23.55, which gives a possible trading interval of +/-$0.110 (+/-0.47%) up or down from last closing price. If Franklin Liberty High Yield Corporate ETF takes out the full calculated possible swing range there will be an estimated 0.94% move between the lowest and the highest trading price during the day.

Since the stock is closer to the resistance from accumulated volume at $23.50 (0.26%) than the support at $23.37 (0.30%), 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 Franklin Liberty High Yield Corporate ETF ETF A Buy?

Franklin Liberty High Yield Corporate holds several positive signals, but we still don't find these to be enough for a buy candidate. At the current level, it should be considered as a hold candidate (hold or accumulate) in this position whilst awaiting further development. We have upgraded our analysis conclusion for this ETF since the last evaluation from a Sell to a Hold/Accumulate candidate.

Current score: -0.989 Hold/Accumulate Upgraded

Predicted Opening Price for Franklin Liberty High Yield Corporate ETF of Friday, May 3, 2024

The predicted opening price is based on yesterday's movements between high, low, and closing price.