U.S. markets open in 2 hours 58 minutes
  • S&P Futures

    3,923.00
    +19.25 (+0.49%)
     
  • Dow Futures

    31,589.00
    +168.00 (+0.53%)
     
  • Nasdaq Futures

    12,090.75
    +50.25 (+0.42%)
     
  • Russell 2000 Futures

    1,782.30
    +12.50 (+0.71%)
     
  • Crude Oil

    111.52
    +1.95 (+1.78%)
     
  • Gold

    1,826.20
    +1.40 (+0.08%)
     
  • Silver

    21.27
    +0.11 (+0.51%)
     
  • EUR/USD

    1.0591
    +0.0004 (+0.04%)
     
  • 10-Yr Bond

    3.1940
    0.0000 (0.00%)
     
  • Vix

    27.04
    -0.19 (-0.70%)
     
  • GBP/USD

    1.2268
    -0.0002 (-0.02%)
     
  • USD/JPY

    135.9920
    +0.5460 (+0.40%)
     
  • BTC-USD

    21,047.08
    -401.45 (-1.87%)
     
  • CMC Crypto 200

    459.62
    -2.18 (-0.47%)
     
  • FTSE 100

    7,339.03
    +80.71 (+1.11%)
     
  • Nikkei 225

    27,049.47
    +178.20 (+0.66%)
     

Leveraged Large Cap ETF (QLD) Hits New 52-Week High

For investors seeking momentum, ProShares Ultra QQQ QLD is probably on radar now. The fund just hit a 52-week high, and is up more than 59% from its 52-week low price of $55.63/share.

But are more gains in store for this ETF? Let’s take a quick look at the fund and the near-term outlook on it to get a better idea on where it might be headed:

QLD in Focus    

This ETF seeks to make huge profits from the soaring Nasdaq-100 Index in a very short period. It offers twice the return of the daily performance of the index, charging 0.95% in annual fees. The fund has AUM of $913.8 million and trades in heavy volume of more than a million shares in hand on average (see: all the Leveraged Equity ETFs here).

Why the Move?

The broad U.S. stock market has been an area to watch lately given the Trump-induced rally and the flow of upbeat data. Trump has promised to accelerate economic growth, spend big time on infrastructure, reduce regulations, cut taxes and create more jobs in the country that will likely flood companies with excess cash and earnings growth. Additionally, the Fed’s second lift-off in a decade and its hawkish stance on 2017 infused optimism into the market, pushing the stocks higher. In particular, most of the stocks in the tech-heavy Nasdaq index are not plagued by financial trouble in a rising interest rate environment given that they have huge cash piles.

More Gains Ahead?

It seems that QLD might remain strong given a high weighted alpha of 19.20% and a high 20-day volatility of 23.15%. As a result, there is definitely still some promise for risk-aggressive investors who want to ride on this surging ETF a little further.

Want key ETF info delivered straight to your inbox?

Zacks’ free Fund Newsletter will brief you on top news and analysis, as well as top-performing ETFs, each week. Get it free >>


Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
 
PRO-ULTR QQQ (QLD): ETF Research Reports
 
To read this article on Zacks.com click here.
 
Zacks Investment Research
 
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report