AI SDD Forecast


Bullish Case: A sustained market rally, combined with decreasing implied volatility (currently high), may boost SDD's upside. Momentum indicators suggest potential rebounds, particularly if small caps outperform larger indices.


Bearish Case: Persistent economic headwinds and elevated volatility may lead to continued downward pressure on SDD. High implied volatility suggests future uncertainty, making significant price declines a concern.


Potential Outcomes:

1. Economic recovery, leading SDD to rise +30% (35%).

2. Continued bearish sentiment causing SDD to drop -20% (40%).

3. Sideways market yielding negligible movement (25%).


Trading Oracle: Focus on a bullish strategy via a debit call spread (e.g., SDD 18.00C and 20.00C, expiration 09/20/2024). This captures potential upside with lower capital risk amid high implied volatility. Expect a 60-day horizon for maximum benefit.


August 24, 2024


ProShares UltraShort SmallCap600 Forecast

SDD      ProShares UltraShort SmallCap600











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Assets that tend to move strongly against SDD



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