First Trust Consumer Discretionary ETF Forecast

Red day on Friday for First Trust Consumer Discretionary
(Updated on May 10, 2024)

FXD Signals & Forecast

The First Trust Consumer Discretionary ETF holds buy signals from both short and long-term Moving Averages giving a positive forecast for the stock, but the ETF has a general sell signal from the relation between the two signals where the long-term average is above the short-term average. On corrections down, there will be some support from the lines at $60.37 and $60.77. A breakdown below any of these levels will issue sell signals. A buy signal was issued from a pivot bottom point on Wednesday, May 01, 2024, and so far it has risen 4.72%. 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). Some negative signals were issued as well, and these may have some influence on the near short-term development. First Trust Consumer Discretionary gained volume on the last day, but on falling prices. In technical terms, this is called divergence and may be an early warning. In some cases, increasing volume on falling prices may be considered positive, but that is mainly in typical "sell-offs".

Support, Risk & Stop-loss for First Trust Consumer Discretionary ETF

First Trust Consumer Discretionary finds support from accumulated volume at $60.74 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 $0.496 between high and low, or 0.81%. For the last week the ETF has had daily average volatility of 0.98%.

Our recommended stop-loss: $58.92 (-3.49%) (This ETF has low daily movements and this gives low risk. There is a buy signal from a pivot bottom found 7 days ago.)

Trading Expectations (FXD) For The Upcoming Trading Day Of Monday 13th

For the upcoming trading day on Monday, 13th we expect First Trust Consumer Discretionary AlphaDEX Fund to open at $61.10, and during the day (based on 14 day Average True Range), to move between $60.18 and $61.92, which gives a possible trading interval of +/-$0.87 (+/-1.43%) up or down from last closing price. If First Trust Consumer Discretionary AlphaDEX Fund takes out the full calculated possible swing range there will be an estimated 2.85% move between the lowest and the highest trading price during the day.

Since the stock is closer to the support from accumulated volume at $60.74 (0.51%) than the resistance at $61.82 (1.26%), our systems sees the trading risk/reward intra-day as attractive and believe profit can be made before the stock reaches first resistance..

Is First Trust Consumer Discretionary AlphaDEX Fund 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.

Current score: 1.786 Buy Candidate Unchanged

Predicted Opening Price for First Trust Consumer Discretionary AlphaDEX Fund of Monday, May 13, 2024

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