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Bullish Case: Aerospace and defense continue to grow on geopolitical tensions and rising defense budgets globally. XAR, with strong investment inflows and consistent historical appreciation, poised for further gains amidst heightened sector demand.


Bearish Case: Decreased trading volume and a month-over-month price drop signal potential overvaluation. With a flat recent price action and the volatility market underestimating uncertainty, XAR might face a correction.


Potential Outcomes:

1) Increased defense spending boosts XAR, 30% probability.

2) Overvaluation leads to correction, 20% probability.

3) XAR stabilizes due to mixed market sentiments, 50% probability.


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April 25, 2024


SPDR S&P Aerospace & Defense Forecast

XAR        SPDR S&P Aerospace & Defense
Price Forecast: NEUTRAL    Price Action: RANDOM (?)











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