First Trust Exchange-Traded Fund III - ETF Forecast

Evaluation of First Trust Exchange-Traded Fund III - ETF downgraded after the last trading session.
(Updated on Jul 03, 2024)

FMHI Signals & Forecast

There are mixed signals in the ETF today. A sell signal was issued from a pivot top point on Tuesday, June 18, 2024, and so far it has fallen -0.265%. 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 fell during the last trading day while the price increased. This causes a divergence and may be considered as an early warning, but it may also not. The First Trust Exchange-Traded Fund III - 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 $48.43 and $48.18. A breakdown below any of these levels will issue sell signals. The ETF had a Golden Star Signal on Tuesday, June 04, 2024 for the short-term and also have Golden Star Signal for the medium-term dated Friday, May 03, 2024.

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 First Trust Exchange-Traded Fund III - ETF

First Trust Exchange-Traded Fund III - finds support from accumulated volume at $47.70 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 therefore the general risk is considered very low. However, be aware of low or falling volume and make sure to keep an eye on the ETF During the last day, the ETF moved $0.160 between high and low, or 0.331%. For the last week the ETF has had daily average volatility of 0.373%

Our recommended stop-loss: $46.87 (-3.40%) (This ETF has low daily movements and this gives low risk. There is a sell signal from a pivot top found 23 days ago.)

Trading Expectations (FMHI) For The Upcoming Trading Day Of Friday 5th

For the upcoming trading day on Friday, 5th we expect First Trust Exchange-Traded Fund III - First Trust Municipal High Income ETF to open at $48.48, and during the day (based on 14 day Average True Range), to move between $48.34 and $48.70, which gives a possible trading interval of +/-$0.178 (+/-0.37%) up or down from last closing price. If First Trust Exchange-Traded Fund III - First Trust Municipal High Income ETF takes out the full calculated possible swing range there will be an estimated 0.73% move between the lowest and the highest trading price during the day.

Since the stock is closer to the resistance from accumulated volume at $48.55 (0.06%) than the support at $47.70 (1.69%), 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 First Trust Exchange-Traded Fund III - First Trust Municipal High Income ETF ETF A Buy?

First Trust Exchange-Traded Fund III - 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. Due to some small weaknesses in the technical picture we have downgraded our analysis conclusion for this ETF since the last evaluation from a Buy to a Hold/Accumulate candidate.

Current score: 0.548 Hold/Accumulate Downgraded

Predicted Opening Price for First Trust Exchange-Traded Fund III - First Trust Municipal High Income ETF of Friday, July 5, 2024

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