The Global X Video Games & Esports ETF (HERO) seeks to invest in companies that develop or publish video games, facilitate the streaming and distribution of video gaming or esports content, own and operate within competitive esports leagues, or produce hardware used in video games and esports, including augmented and virtual reality.
The ETF #HERO has been recently entered on a downward trend where we have started to see meaningful patterns repeat themselves: we believe there are now the conditions for a good risk/reward ratio opportunity to the upside.
The ETF has respected so far the downward trend line with lower lows on the 9 March - 13 May and the most recent on 17 August 2021
On the reversal formation, the ETF has always managed to reconcile with the 50MA The RSI, comparing the 13 May with the 17 August lows, is reporting a positive divergence with the price.
MACD, well below 0 respecting the negative momentum of the ETF, is due to crossing over
The ETF is without doubt in bearish trend, however indicators and past setup are suggesting that it may soon ready for an upside opportunity: first target, just below the 50MA
Entry range $ 29.00 - 29.50
Target 1 $ 30.80
Target 2 $ 32.00
Stop loss $ 27.60
OTB Global Investments
20 August 2021