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A Wild Day For A Beloved Momentum ETF

Benzinga.com
0 Comments| August 24, 2015

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Plenty of exchange traded funds experienced acute volatility at the open of U.S. markets Monday and the First Trust Dorsey Wright Focus 5 ETF (NASDAQ: FV) was no exception.

FV, an ETF beloved by advisors and investors that are followers of Dorsey Wright's momentum-based, relative strength strategies, shows an intra-day range of $11.70 to $22.98. While that could speak to conspiracy theories of a mini “flash crash” for FV, charts for the ETFs five holdings all show similarly wild candles and wide intraday ranges.

For example, the First Trust NYSE Arca Biotechnology Index Fund (NYSE: FBT) traded as low as $70, but now resides above $110 while the First Trust Health Care AlphaDEX Fund (NYSE: FXH) touched $44.41 before running back above $63. FBT and FXH are FV's two largest holdings, ...

/www.benzinga.com/trading-ideas/long-ideas/15/08/5787147/a-wild-day-for-a-beloved-momentum-etf alt=A Wild Day For A Beloved Momentum ETF>Full story available on Benzinga.com

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