(TPU) TD U.S. Equity Index - Ratings and Ratios

TD U.S. Equity Index ETF (TPU) is a Canadian exchange-traded fund designed to provide exposure to the U.S. equity market. It tracks the Morningstar US Market TR CAD Index, offering a diversified portfolio of U.S. stocks across various sectors. The fund is managed by TD Asset Management and is listed on the Toronto Stock Exchange (TO).

From a technical perspective, TPU has shown moderate trading activity with an average 20-day volume of 103,200 shares. The ETF is currently trading at $43.41, slightly above its 20-day simple moving average (SMA) of $42.67 but below its 50-day SMA of $45.37 and 200-day SMA of $45.64. This suggests a neutral to bearish short-term trend but a longer-term sideways or slightly bearish momentum. The Average True Range (ATR) of 1.24 indicates moderate volatility, with price fluctuations typically within a $1.24 range over the past 14 days.

On the fundamental side, TPU has significant assets under management (AUM) of $3,270.65 million CAD, reflecting strong investor interest in U.S. equity exposure. The fund is designed to replicate the performance of the Morningstar US Market TR CAD Index, which covers 97% of the U.S. equity market capitalization. This broad diversification reduces concentration risk and aligns the ETFs performance closely with the overall U.S. market.

Looking ahead, over the next three months, TPUs performance will likely be influenced by the broader U.S. market trends. Based on technical indicators, the ETF may face resistance near its 50-day and 200-day SMAs ($45.37 and $45.64, respectively), while support could be tested near its 20-day SMA ($42.67). Fundamental factors such as U.S. corporate earnings, Federal Reserve policy, and macroeconomic data will also play a significant role in shaping the ETFs trajectory. Given the current technical setup, TPU may experience sideways to slightly bearish movement in the short term, with potential downside limited by its strong AUM and broad market tracking.