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Buy on the Dip Prospects: April 30 Edition

Below is a look at ETFs that currently offer attractive buying opportunities. The ETFs included in this list are rated as buy candidates for two reasons. First, each of these funds is deemed to be in an uptrend based on the fact that its 50-day moving average is above its 200-day moving average, which are popular indicators for gauging long-term and medium-term trends, respectively. Second, each of these ETFs is also trading below its five-day moving average, thereby offering a near-term ‘buy on the dip’ opportunity, given the longer-term uptrend at hand. Note that this prospects list also features a liquidity screen by excluding ETFs with average trading volumes below the one million shares mark. As always, investors of all experience levels are advised to use stop-loss orders and practice disciplined profit-taking techniques. To get access to all ETF Database premium content, sign up for a free 14-day trial to ETF Database Pro. Only six ETFs made it to the buy on the dip prospects list. S&P 500 and NASDAQ ended at almost the same levels after a volatile last month, while Dow Jones was lower amid earnings releases, economic reports, and global trade deal negotiations. United States Natural Gas Fund (UNG B-) featured on the buy on the dip list as U.S. natural gas prices have recently decreased due to improved weather conditions that have reduced demand, and record natural gas production, leading to higher supply. Warmer temperatures have reduced consumption in both the residential and commercial sectors, while industrial sector demand has also fallen. Several short-term volatility ETFs like VIX Short-Term Futures ETN Ipath (VXX A-), VIX Short-Term Futures ETF Proshares (VIXY A), and ProShares Ultra VIX Short-Term Futures ETF (UVXY B-) were buy on the dip prospects. Market volatility subsided mid-month, as US-China tensions showed signs of easing and investors digested the latest first-quarter earnings. Check out different volatility ETFs by clicking here To compare this month’s list with the one published April 9th, click here.ETFs to Buy on the DipPlease note that this list is updated on a monthly basis. For more ETF analysis, make sure to sign up for our free ETF newsletter. Disclosure: No positions at time of writing.

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