iShares S&P/TSX Capped Financials Index ETF Forecast

Weaker technical forecast for iShares S&P/TSX Capped Financials Index as ETF downgraded to Hold/Accumulate.
(Updated on May 07, 2024)

XFN.TO Signals & Forecast

The iShares S&P/TSX Capped Financials Index 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 $48.97 and $49.13. A breakdown below any of these levels will issue sell signals. A buy signal was issued from a pivot bottom point on Tuesday, April 16, 2024, and so far it has risen 3.23%. 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. Volume fell during the last trading day while price remained unchanged. This may be an early warning, but it may also not. We still recommend that you pay attention over the next couple of days.

Support, Risk & Stop-loss for iShares S&P/TSX Capped Financials Index ETF

iShares S&P/TSX Capped Financials Index finds support from accumulated volume at $49.31 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 $0.250 between high and low, or 0.505%. For the last week the ETF has had daily average volatility of 0.84%.

Our recommended stop-loss: $46.98 (-5.18%) (This ETF has low daily movements and this gives low risk. There is a buy signal from a pivot bottom found 15 days ago.)

Trading Expectations (XFN.TO) For The Upcoming Trading Day Of Wednesday 8th

For the upcoming trading day on Wednesday, 8th we expect iShares S&P/TSX Capped Financials Index ETF to open at $49.61, and during the day (based on 14 day Average True Range), to move between $49.08 and $50.00, which gives a possible trading interval of +/-$0.461 (+/-0.93%) up or down from last closing price. If iShares S&P/TSX Capped Financials Index ETF takes out the full calculated possible swing range there will be an estimated 1.86% move between the lowest and the highest trading price during the day.

Since the stock is closer to the resistance from accumulated volume at $49.71 (0.34%) than the support at $49.31 (0.46%), 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 iShares S&P/TSX Capped Financials Index ETF ETF A Buy?

iShares S&P/TSX Capped Financials Index 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: -0.077 Hold/Accumulate Downgraded

Predicted Opening Price for iShares S&P/TSX Capped Financials Index ETF of Wednesday, May 8, 2024

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