Sell on the Pop Prospects: November 10 Edition

Here is a look at ETFs that currently offer attractive short selling opportunities.The ETFs included in this list are rated as sell candidates for two reasons. First, each of these funds is deemed to be in a downtrend based on the fact that its 50-day moving average is below its 200-day moving average, which are popular indicators for gauging long-term and medium-term trends, respectively.Second, each of these ETFs is also trading above its 20-day moving average, thereby offering a near-term ‘sell on the pop’ opportunity given the longer-term downtrend at hand. Note that this prospects list also features a liquidity screen by excluding ETFs with average trading volumes below the one million shares mark. As always, investors of all experience levels are advised to use stop-loss orders and practice disciplined profit-taking techniques.To get access to all ETF Database premium content, sign up for a free 14-day trial to ETF Database Pro.35 ETFs made it to the list of sell on the pop prospects this month. The U.S. market gained sharply on strong corporate earnings and hiring data, easing Coronavirus concerns, the passage of the infrastructure bill, lifting of U.S. travel restrictions, etc.ETFMG Alternative Harvest ETF MJ and AdvisorShares Pure US Cannabis ETF MSOS ranked among the sell on the pop candidates this month on positive news around potential M&A and federal legalization. Compare and contrast the two cannabis ETFs using our ETF Comparison tool.Several biotech ETFs such as SPDR S&P Biotech ETF XBI and Direxion Daily S&P Biotech Bull 3x Shares LABU featured on the sell on the pop list as the over healthcare sector gained by more than 5% in the last month. ARK Genomic Revolution ETF ARKG that focuses on companies across multiple sectors, including health care also made it to the list. Read our coverage on ARK’s strategies here.Several precious metals ETFs like Direxion Daily Junior Gold Miners Index Bull 3X Shares JNUG, VanEck Vectors Gold Miners ETF GDX and VanEck Vectors Junior Gold Miners ETF GDXJ ranked amongst the sell on the pop candidates as gold price gained by more than 5% in the last month driven by a drop in US bond yields and inflation concerns. Other precious metals ETFs like iShares Silver Trust SLV and Sprott Physical Silver Trust PSLV also made it to the list.Many corporate bond funds such as Vanguard Short-Term Corporate Bond ETF VCSH, iShares Short-Term Corporate Bond ETF IGSB and SPDR Portfolio Intermediate Term Corporate Bond ETF SPIB made it to the list as a host of new companies raising cash boost the US junk bond market.iShares 3-7 Year Treasury Bond ETF IEI and iShares 7-10 Year Treasury Bond ETF IEF were sell on the pop contenders this month on falling bond yields as Fed decided to take a slower pace on monetary tightening. The yield on U.S. 10 year Treasury Note declined to 1.469% from 1.575% a month ago.To compare this month’s list with the one published on October 13, click here.ETFs to Sell on the PopPlease note that this list is updated on a monthly basis.For more ETF analysis, make sure to sign up for our free ETF newsletter.Disclosure: No positions at time of writing.

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