Score 7.7 (out of 10): ARK Autonomous Technology & Robotics ETF poised to rally +6.5% rally in 2 months

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What’s Going On Here?

Cathie Wood’s ARK AT&R’s largest holding are Tesla, Trimble and Kratos Defense. This ETF is the smaller brother ($2.5bn AUM) of her funds. Tesla has been in the news recently because its main shareholder, Elon Musk, has sold billion of his holdings. Trimble provides advanced location-based software solutions while Kratos operates as a defense contractor and security systems integrator.

Why Now?

ARK Autonomous Technology & Robotics ETF has reached a new shorter-term low. Previously, during similar occasions, ARK Autonomous Technology & Robotics ETF shares had a median return of +6.5%, over the following 2 months based on 10 historical occasions with 8 of those showing positive returns (80% hit ratio). This buy signal for ARK Autonomous Technology & Robotics ETF received a high score of 7.7 (out of 10). This insight was generated on 2021-November-23 with last price of 82.97.

What’s This Company About?

ARK Autonomous Technology & Robotics ETF is in the Autonomous Technology & Robotics business. Based on the last 2 years’ risk/return profile, this asset is seen as Less Risky. ‘Wall Street’ analysts think the stock price will be worth – 100% less (average). Ticker symbol: ARKQ US.

What’s My Risk / Reward and Time Horizon?

We found 2 months to be the optimal trade horizon, after testing a number of possible alternatives (accuracy of previous returns). Otherwise consider closing out this trade once the target level of 88.35 (+6.5%) has been reached. Based on ARK Autonomous Technology & Robotics ETF’s recent up and down swings, LongShortBets suggests considering to set a stop loss level for this insight at 78.47 (last price at 82.97), which is equivalent to a -5.4% decline.

Returns during similar periods:

The chart above shows the previous returns (in %) based on similar setups with the most recent ‘insight’ shown under (1), the second most recent ‘insight’ shown under (2), etc. 

Previous episodes:

8.2% (September-2021), 2.9% (July-2021), 4.8% (May-2021), -4.3% (February-2021), 24.4% (September-2020), 9.2% (February-2020), 17.7% (December-2019), 10.6% (October-2019), -3.9% (August-2019), 1.6% (March-2019).

Historical Chart:

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Summary:

NameARK Autonomous Technology & Robotics ETF
ViewUp
Star (1 to 10)7.7
Target+6.5%
Time2 months
Hit Rate80%

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