(DJUL) FT Cboe Vest U.S. Equity - Ratings and Ratios

The FT Cboe Vest U.S. Equity Deep Buffer ETF - July (DJUL) is designed to provide investors with equity exposure while incorporating built-in downside protection. The fund primarily invests in FLEX Options, which are customized option contracts that reference the performance of an underlying ETF. These options are used to implement a target outcome strategy, aiming to deliver returns within a predefined range based on the underlying assets performance. This approach is particularly appealing to investors seeking predictable investment outcomes and reduced volatility in their equity allocations. The fund is classified as non-diversified, meaning it may concentrate its holdings in a smaller number of securities, which can increase potential returns but also heightens risk.

From a technical perspective, DJUL has shown moderate trading activity, with an average 20-day volume of 21,108 shares. The ETF is currently trading at $42.48, slightly below its 20-day SMA of $42.77 but in line with its 50-day SMA of $42.52. The 200-day SMA stands at $41.10, indicating a gradual upward trend over the longer term. The Average True Range (ATR) of 0.27 reflects relatively low volatility, suggesting that the funds price movements have been stable and tightly ranged.

Fundamentally, DJUL manages assets under management (AUM) of $348.15 million, demonstrating notable investor interest in its defined outcome strategy. The funds structure allows for dynamic adjustments to its FLEX Options positions, enabling it to adapt to changing market conditions while maintaining its target investment objectives.

3-Month Forecast: Based on the current technical and fundamental data, DJUL is expected to trade within a narrow range, with potential resistance near its 20-day SMA of $42.77 and support around its 200-day SMA of $41.10. The low ATR of 0.27 suggests continued price stability, with minimal volatility expected. The funds AUM growth indicates investor confidence in its strategy, which may support its price levels. However, the concentration risk associated with its non-diversified status could lead to short-term fluctuations if market conditions shift unexpectedly.