UPRO Is Now Overbought. I'm Taking A Quarter Position Off The Table

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About: ProShares Trust - ProShares UltraPro S&P500 (UPRO), Includes: AAPL, MSFT, SPY
by: Todd Akin
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Todd Akin
Deep Value, newsletter provider, portfolio strategy, oil & gas
Summary

UPRO is getting overbought according to its RSI indicator.

Other technical indicators are bearish, such as shares being up against the 200 day moving average, that compound the problem of an overbought RSI.

The U.S economy remains strong, however.

Therefore, since UPRO is leveraged and inherently risky in nature, I am trimming a quarter of the position here in order to manage risk, which enables me to still have enough money on the table should a rally occur.

The ProShares UltraPro S&P 500 ETF (UPRO) has rallied from 2018 lows in dramatic fashion, but is now getting overbought. According to various popular technical indicators used by traders, such as the RSI