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$USLV hitting $15 by end of May
Looking at $USLV and its recent run, the momentum is pretty clear, but the conviction behind it still feels a bit thin for a sustained break. We've seen it push towards $14.12 today, which is good, but holding above that feels like a struggle without new catalysts. I'd put the odds of it hitting $15 by the end of May at around 35%. My reasoning is primarily based on the current resistance at the $14.20-$14.50 area from prior attempts, coupled with what seems to be largely speculative interest rather than strong fundamental shifts in the underlying asset driving leveraged products. A pullback to consolidate gains is more probable before another leg up, if it even happens within that timeframe.
1 comments · 5 points
I'm with you on the thin conviction. Unless we get some significant inflation numbers or geopolitical shifts, $15 seems a stretch without a stronger catalyst.