(QDEC) First Trust Exchange - Ratings and Ratios

The First Trust Exchange-Traded Fund VIII - FT Cboe Vest Growth-100 Buffer ETF - December (QDEC) is a defined outcome ETF that employs a unique investment strategy, utilizing FLexible EXchange Options (FLEX Options) that track the performance of the Invesco QQQ Trust, Series 1, a popular ETF that mirrors the Nasdaq-100 Index, comprising the 100 largest non-financial stocks listed on the Nasdaq.

Under normal market conditions, QDEC invests substantially all of its assets in these customized FLEX Options, allowing investors to gain exposure to the underlying index while potentially mitigating downside risks through the buffer strategy, which is designed to absorb losses up to a certain level, in this case, likely tied to the Buffer in its name, suggesting a 10% buffer.

Given the current technical data, QDEC is trading at $29.17, above its 20-day, 50-day, and 200-day simple moving averages, indicating a bullish trend. The funds assets under management stand at $528 million, suggesting a moderate level of investor interest. With an average true range of 0.25, representing a 0.84% daily price movement, the ETF is displaying relatively stable price action.

Forecasting QDECs performance involves analyzing the underlying Nasdaq-100 Index, which is heavily weighted in tech stocks. Given the trend of QDECs price relative to its moving averages and the overall bullish sentiment in the tech sector, driven by continued innovation and growth, it is plausible that QDEC could continue its upward trajectory. If the Nasdaq-100 continues to trend upwards, QDECs FLEX Options strategy is likely to benefit, potentially pushing the ETFs price higher, possibly towards new 52-week highs. However, the buffer strategy is expected to limit losses if the underlying index declines. Thus, a potential target for QDEC could be in the range of $30 to $31, based on the current trend and volatility, while a decline below $28.51 could signal a potential reversal.