(EXX7) iShares Nikkei 225 (DE) - Ratings and Ratios

The iShares Nikkei 225 UCITS ETF (DE), listed on XETRA under the ticker EXX7, is designed to provide exposure to Japanese large-cap equities. It tracks the Morningstar Japan TME NR JPY Index, which focuses on large-cap companies in Japan, offering a representation of the Japanese equity markets performance. This ETF is structured as a UCITS-compliant fund, originating from Germany, making it accessible to European investors seeking diversification into Japanese equities.

From a technical standpoint, the ETF shows an average 20-day volume of 6,536, indicating moderate trading activity. The last price stands at 21.47, with short-term (SMA 20: 21.71) and medium-term (SMA 50: 23.00) moving averages slightly above the current price, while the long-term SMA 200 is at 23.50. The Average True Range (ATR) of 0.48 suggests low volatility, indicating stable price movements.

In terms of fundamental data, the ETF manages an impressive Assets Under Management (AUM) of 28,253.27M EUR, underscoring its popularity and liquidity. This substantial AUM typically contributes to tighter bid-ask spreads and reduced tracking error, aligning closely with the underlying indexs performance.

3-Month Forecast: Based on the provided data, the ETF may face a challenging environment. The price is below the SMA 20, 50, and 200, hinting at a potential downtrend continuation. The low ATR suggests limited volatility, so price fluctuations are expected to remain moderate. However, tracking the Nikkei 225, the ETFs performance will be influenced by Japans economic policies, corporate earnings, and global market sentiment. If the Bank of Japan maintains its accommodative stance and corporate earnings improve, the ETF could stabilize or recover. Conversely, external factors like global economic slowdowns or yen strength might exert downward pressure.