(FDM) First Trust Dow Jones - Ratings and Ratios

The First Trust Dow Jones Select MicroCap Index Fund (NYSE ARCA:FDM) is an exchange-traded fund (ETF) designed to track the performance of the Dow Jones Select MicroCap Index. The fund typically allocates at least 90% of its net assets to securities included in the index, which focuses on U.S. micro-cap companies. These companies are selected based on their liquidity and strong fundamental characteristics relative to the broader micro-cap universe. The index employs a rules-based methodology to identify micro-cap stocks with higher liquidity and stronger financial health compared to their peers.

As of the latest data, the fund has approximately $174.99 million in assets under management (AUM). Its average daily trading volume over the past 20 days is 6,106 shares, indicating moderate liquidity. The funds last price was $66.67, with key moving averages at SMA 20: $69.97, SMA 50: $69.25, and SMA 200: $65.13. The Average True Range (ATR) of 0.99 suggests moderate volatility. The fund is categorized as a Small Value ETF, focusing on U.S. small-cap equities with value characteristics.

3-Month Forecast: Based on the technical and fundamental data, the funds price may face headwinds in the near term. The SMA 20 and SMA 50 are above the current price, indicating potential resistance levels. However, the SMA 200 remains below the current price, suggesting long-term support. The moderate ATR indicates that price fluctuations may remain contained. Fundamentally, the focus on comparatively liquid micro-cap stocks with strong fundamentals could provide stability, but the low average volume may lead to occasional liquidity challenges. Overall, the fund is expected to trade within a narrow range, with potential downside limited by the SMA 200 support level.