New Target for Ultra Oil and Gas ETF (DIG)
06/02/2009 10:32 am EST
ProShares Ultra Oil and Gas (DIG) - This exchange traded fund (ETF) seeks daily investment results that correspond to twice the daily performance of the Dow Jones Oil and Gas Index (DJUSEN).
In a previous article, with DIG at just under $22, the Trade of the Day said, "Although the index is still in a down-trending consolidation, demand for crude oil and precious metals could drive DIG higher. A break above the 50-day moving average at $24 would likely lead to a test of the recent highs at $31 to $33 and even to a run up to over $50."
And on May 11, we said, "Not only did DIG break above its 50-day moving average, but it broke out of its consolidation and appears headed first to the 200-day moving average at $40 and then north of $50."
I'll stick with that assessment and a new target of $50 to $60.
By Sam Collins of OptionsZone.com