(QMMY) FT Vest NASDAQ-100 Moderate - Ratings and Ratios

The FT Vest NASDAQ-100 Moderate Buffer ETF - May (BATS:QMMY) is an exchange-traded fund that employs a strategy centered around FLexible EXchange (FLEX) Options referencing the Invesco QQQ Trust, Series 1, which tracks the NASDAQ-100 Index. By utilizing FLEX Options, the fund allows for customization of key contract terms, providing a tailored investment approach. The funds primary objective is to offer a moderate buffer against losses in the underlying index while still providing potential for gains, albeit with certain limitations.

The funds investment strategy is focused on managing risk through the use of FLEX Options, which are customized to meet specific investment goals. The NASDAQ-100 Index, which the fund references, is a basket of the 100 largest non-financial stocks listed on the NASDAQ, with a heavy weighting towards technology and growth stocks. This indicates that the funds performance is closely tied to the tech-heavy NASDAQ-100 Index.

Analyzing the funds recent performance, we see that it has been trending upwards, with its last price at $22.81, above its 20-day, 50-day, and 200-day Simple Moving Averages (SMA). The Average True Range (ATR) of 0.36, equivalent to 1.58%, suggests relatively moderate volatility. Given the current technical setup, with the fund trading near its 52-week high of $22.81, theres an indication of strong recent performance.

Combining technical and fundamental data, we can forecast the funds potential trajectory. With the NASDAQ-100 Index being a growth-oriented index, the overall trend in the tech sector will significantly influence QMMYs performance. If the tech sector continues to grow, we can expect the NASDAQ-100 Index to rise, potentially driving QMMYs price higher. However, the funds buffer strategy may cap the upside. Given the current AUM of $115.50M USD, theres sufficient capital to maintain the funds strategy, but significant inflows or outflows could impact its ability to effectively manage risk and returns.

Forecasting the next steps for QMMY involves considering both the technical indicators and the fundamental aspects. If the SMA20 continues to rise and stays above the SMA50 and SMA200, it could signal a continued upward trend. However, the proximity to the 52-week high might indicate a potential resistance level. Therefore, a prudent forecast would be to expect a potential consolidation or slight pullback before any further upward movement, assuming the tech sector maintains its momentum.