ProShares Ultra Russell 2000 Value ETF (NYSE: UVT) — This leveraged exchange-traded fund (ETF) seeks daily investment results that correspond to twice the daily performance of the Russell 2000 Value Index.
UVT has rallied from a major support line at $19 four times since December.
On Wednesday, it performed a “daily reversal” and followed through on Friday with a higher close, and its stochastic issued a short-term buy signal.
The target for a trade in UVT is $22 to $24.
UVT is for traders only. The SEC has determined that “ultra” funds are not appropriate long-term investments and that they are designed for short-term trades.
UVT carries greater risk than an ordinary ETF, so traders should use stop-loss orders. Finally, the margin requirement for most leveraged ETFs is 100%, but check with your broker before entering an order.
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