TradingMarkets 7 ETFs You Need to Know for Tuesday
Profit-taking was especially aggressive in financial ETFs, though sectors across the board were lower as overbought conditions finally caught up with most ETFs.
Here are 7 ETFs You Need to Know for Tuesday.
The sell-off was led in large part by profit-taking in financial shares. Up by more than 13% intraday and moving back into overbought territory below the 200-day moving average was the ProShares UltraShort Financials ETF
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PowerRating). It was the first time the ETF had entered overbought territory below the 200-day moving average since the end of March.
Down by more than 20% intraday was the Direxion Financial Bull 3x Shares ETF
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PowerRating), a triple leveraged ETF that is increasingly among the more popular ways for short term traders to trade the financial sector as a whole.
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Two days in overbought territory below the 200-day moving average was enough to bring out sellers in the iShares Dow Jones U.S. Energy Services ETF
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PowerRating), which was down by more than 4% intraday on Monday.
Conversely, a pair of oversold closes above the 200-day moving average provided traders with the opportunity to buy precious metals ETFs like the SPDRS Gold Shares
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PowerRating) in advance of their 2% intraday bounce on Monday.
The news of Oracle Corporation
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PowerRating), which was down nearly 5% intraday on Monday before rallying from its lows.
After three consecutive days of higher highs and increasingly overbought conditions below the 200-day moving average, the SPDR Homebuilders ETF
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PowerRating) was hit with some aggressive profit-taking on Monday, losing more than 7% intraday
Plunging to its lowest levels since early March, the SPDRS Biotechnology Index ETF
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PowerRating) dropped by more than 2% intraday on Monday.
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