(REM) iShares Mortgage Real - Ratings and Ratios

The iShares Mortgage Real Estate Capped ETF (BATS:REM) is an exchange-traded fund that focuses on the mortgage real estate sector, primarily investing in the component securities of its underlying index. The fund is allowed to allocate up to 20% of its assets to derivatives, such as futures, options, and swap contracts, as well as cash and cash equivalents, to achieve its investment objective.

The fund is non-diversified, which means it may be more susceptible to market fluctuations and may exhibit higher volatility compared to diversified funds. As a real estate ETF, REM is likely to be influenced by factors such as interest rates, housing market trends, and economic conditions. With a relatively small asset base of $539.81M USD, the fund may be more vulnerable to market liquidity risks.

From a technical analysis perspective, the funds price is currently at $21.32, with a 20-day simple moving average (SMA) of $20.93 and a 50-day SMA of $20.65, indicating a bullish trend. The 200-day SMA is at $21.31, which is very close to the current price, suggesting a potential resistance level. The average true range (ATR) is 0.34, or 1.58%, indicating moderate volatility.

Based on the available technical and fundamental data, a potential forecast for REM is that it may experience a minor pullback in the short term, potentially testing the $20.93 support level, before continuing its upward trend. If the fund can break through the $22.99 resistance level, which is the 52-week high, it may be poised for further gains. Conversely, a decline below the $18.64 support level, which is the 52-week low, could signal a more significant downturn. As a trading analyst, I would monitor the funds price action and adjust the forecast accordingly.