ProShares Ultra Gold (NYSEARCA:UGL) Shares Gap Down – Time to Sell?

Shares of ProShares Ultra Gold (NYSEARCA:UGL) gapped down before the market opened on Tuesday . The stock had previously closed at $52.91, but opened at $50.33. ProShares Ultra Gold shares last traded at $50.8640, with a volume of 1,318,280 shares changing hands.

ProShares Ultra Gold News Summary

Here are the key news stories impacting ProShares Ultra Gold this week:

• Positive Sentiment: Renewed U.S.-Iran and Gulf tensions are providing some safe-haven demand, while concerns about government debt, expanding money supply and potential U.S. dollar debasement support the longer-term bullish case for gold. Gold and Silver Price Forecast Treasury Bond Buybacks and Gold
• Positive Sentiment: Some analysts continue to view gold’s structural bull market as intact and forecast substantially higher prices over the longer term, which could benefit UGL if the trend resumes. Long-Term Gold Bull Case
• Neutral Sentiment: Weakening U.S. labor-market data could eventually reduce pressure for additional Federal Reserve tightening, but gold has not benefited because bond yields and rate expectations remain elevated. Gold and U.S. JOLTS Data
• Negative Sentiment: Markets are assigning nearly 70% odds to a September Fed rate hike after hawkish comments from Fed Chair Kevin Warsh. Rising Treasury yields, a firmer dollar and higher oil prices are pressuring non-yielding gold. Gold Price Slides as Rate-Hike Odds Rise Gold Hits Two-Week Low
• Negative Sentiment: Technical momentum has deteriorated: gold breached the closely watched $4,350 area, and the World Gold Council warned of a potential pullback toward $4,215. A break below support could create additional downside for leveraged UGL. World Gold Council Gold Pullback Warning
• Negative Sentiment: Gold ETF inflows have reversed following the hawkish Fed repricing, suggesting weaker near-term investment demand. Gold ETF Inflows Reverse

ProShares Ultra Gold Stock Performance

The firm’s 50 day simple moving average is $47.94 and its 200-day simple moving average is $57.17.

Institutional Trading of ProShares Ultra Gold

A number of institutional investors have recently added to or reduced their stakes in the business. Jump Financial LLC acquired a new stake in ProShares Ultra Gold in the 4th quarter valued at $9,073,000. Group One Trading LLC boosted its position in shares of ProShares Ultra Gold by 121.3% in the fourth quarter. Group One Trading LLC now owns 42,702 shares of the company’s stock worth $2,371,000 after buying an additional 23,404 shares during the period. Advisory Alpha LLC grew its stake in shares of ProShares Ultra Gold by 12.7% in the fourth quarter. Advisory Alpha LLC now owns 29,342 shares of the company’s stock valued at $1,629,000 after buying an additional 3,299 shares in the last quarter. EverSource Wealth Advisors LLC grew its stake in shares of ProShares Ultra Gold by 13.1% in the fourth quarter. EverSource Wealth Advisors LLC now owns 26,017 shares of the company’s stock valued at $1,444,000 after buying an additional 3,016 shares in the last quarter. Finally, Prosperitas Financial LLC raised its holdings in shares of ProShares Ultra Gold by 143.7% during the 4th quarter. Prosperitas Financial LLC now owns 19,067 shares of the company’s stock valued at $1,059,000 after buying an additional 11,242 shares during the period.

About ProShares Ultra Gold

ProShares Ultra Gold (the Fund) seeks daily investment results that correspond to twice (200%) the daily performance. The Fund generally invests in financial instruments as a substitute for investing directly in a commodity or currency in order to gain exposure to the commodity index, commodity or currency. The Funds may purchase United States Treasury Bills, agency securities, and other high-credit quality short-term fixed income or similar securities with original maturities of one year or less.