UWM Forecast + Trading Strategies




Price Forecast:


Bearish<->Bullish




Bullish Case: UWM shows possible upward momentum with current call volume suggesting bullish sentiment. Increased institutional support could fuel a breakout above key resistance levels.




Bearish Case: High implied volatility and historical return volatility indicate the potential for declines. A failure to maintain above support levels may trigger selling pressure.




Potential Outcomes:

1) UWM trends upward, with a 40% chance it breaks resistance above $46.

2) A decline towards $39 at 35% probability.

3) Consolidation around $43 with a likelihood of around 25%.




Trading Oracle: Consider bullish positioned debit spreads by buying the $42 call and selling the $44 call, capitalizing on upward momentum with favorable risk/reward. Alternatively, assess bearish positions if the trend reverses, focusing on defined risk strategies to leverage current volatility.



October 27, 2024


ProShares Ultra Russell2000 Forecast

UWM        ProShares Ultra Russell2000











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Assets with little price relationship to UWM



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Assets that tend to move strongly against UWM



MED Forecast + Options Trading Strategies   MED  Medifast (-0.69)


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SDS Forecast + Options Trading Strategies   SDS  ProShares UltraShort S&P500 (-0.82)


LABD Forecast + Options Trading Strategies   LABD  Direxion Daily S&P Biotech Bear 3X Shares (-0.86)









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