PowerShares S&P SmallCap Materials 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
Green day on Friday for PowerShares S&P SmallCap Materials ETF after gaining 0.398%
(Updated on May 03, 2024)
The PowerShares S&P SmallCap Materials ETF price gained 0.398% on the last trading day (Friday, 3rd May 2024), rising from $76.97 to $77.27. It has now gained 7 days in a row. It is not often that ETFS manage to gain so many days in a row, and falls for a day or two should be expected. During the last trading day the ETF fluctuated 0.0318% from a day low at $77.25 to a day high of $77.27. The price has risen in 9 of the last 10 days and is up by 4.49% over the past 2 weeks. Volume has increased on the last day along with the price, which is a positive technical sign, and, in total, 46 more shares were traded than the day before. In total, 242 shares were bought and sold for approximately $18.70 thousand.
The ETF lies in the middle of a weak rising trend in the short term and a further rise within the trend is signaled. Given the current short-term trend, the ETF is expected to rise 5.07% during the next 3 months and, with a 90% probability hold a price between $78.13 and $82.47 at the end of this 3-month period.
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PSCM Signals & Forecast
Mostly positive signals in the chart today. The PowerShares S&P SmallCap Materials 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 $75.76 and $74.90. A breakdown below any of these levels will issue sell signals. A buy signal was issued from a pivot bottom point on Wednesday, April 17, 2024, and so far it has risen 4.95%. 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). PowerShares S&P SmallCap Materials 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. The very low volume increases the risk and reduces the other technical signals issued.
Support, Risk & Stop-loss for PowerShares S&P SmallCap Materials ETF
PowerShares S&P SmallCap Materials finds support from accumulated volume at $75.38 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 $0.0246 between high and low, or 0.0318%. For the last week the ETF has had daily average volatility of 0.700%.
Since the PowerShares S&P SmallCap Materials has been rising for 7 days in a row, the risk over the next couple of days has increased. We don't expect a major reaction as the ETF is in very good shape technically, and therefore hold a positive evaluation despite the very short term risk.
Our recommended stop-loss: $73.76 (-4.55%) (This ETF has low daily movements and this gives low risk. The RSI14 is 83 and this increases the risk substantially. There is a buy signal from a pivot bottom found 12 days ago.)
Trading Expectations (PSCM) For The Upcoming Trading Day Of Monday 6th
For the upcoming trading day on Monday, 6th we expect PowerShares S&P SmallCap Materials Portfolio to open at $77.27, and during the day (based on 14 day Average True Range), to move between $76.42 and $78.12, which gives a possible trading interval of +/-$0.85 (+/-1.10%) up or down from last closing price. If PowerShares S&P SmallCap Materials Portfolio takes out the full calculated possible swing range there will be an estimated 2.20% move between the lowest and the highest trading price during the day.
With no resistance above and support from accumulated volume @ $75.38, some $1.89 (2.45%) from the current price of $77.27, our system finds the risk reward attractive.
Is PowerShares S&P SmallCap Materials Portfolio ETF A Buy?
Several short-term signals, along with a general good trend, are positive and we conclude that the current level may hold a buying opportunity as there is a fair chance for PowerShares S&P SmallCap Materials ETF to perform well in the short-term.
Current score: 3.581 Buy Candidate Unchanged
Predicted Opening Price for PowerShares S&P SmallCap Materials Portfolio of Monday, May 6, 2024
| Fair opening price May 6, 2024 | Current price |
|---|---|
| $77.27 ( 0.0106%) | $77.27 |
The predicted opening price is based on yesterday's movements between high, low, and closing price.
Trading levels for PSCM
Fibonacci Support & Resistance Levels
| Level | Price | |||
|---|---|---|---|---|
| Resistance | R3 | 77.29 | 0.0212 % | |
| R2 | 77.28 | 0.0091 % | ||
| R1 | 77.28 | 0.0015 % | ||
| Current price: | 77.27 | |||
| Support | S1 | 77.26 | -0.0228 % | |
| S2 | 77.25 | -0.0303 % | ||
| S3 | 77.24 | -0.0424 % |
Accumulated Volume Support & Resistance Levels
| Level | Price | |||
|---|---|---|---|---|
| Resistance | R3 | 0 | . | |
| R2 | 0 | . | ||
| R1 | 0 | . | ||
| Current price | 77.27 | |||
| Support | S1 | 75.38 | -2.45% | |
| S2 | 74.82 | -3.17% | ||
| S3 | 73.84 | -4.44% |
PSCM Dividend Payout History
| # | Ex-Date | Pay Date | Amount | Yield | |
|---|---|---|---|---|---|
| 1 | Mar 18, 2024 | Mar 18, 2024 | Mar 22, 2024 | $0.154 | 0.206% |
| 2 | Dec 18, 2023 | Dec 18, 2023 | Dec 22, 2023 | $0.199 | 0.269% |
| 3 | Sep 18, 2023 | Sep 18, 2023 | Sep 22, 2023 | $0.101 | 0.158% |
| 4 | Sep 08, 2023 | Jun 20, 2023 | Jun 23, 2023 | $0.116 | 0.179% |
| 5 | Jun 19, 2023 | Mar 20, 2023 | Mar 24, 2023 | $0.182 | 0.281% |
FAQ
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