DRV updates (06/13/2020)
FA
FED actions in late May has disrupted the entire commercial rental and REIT market by overly purchasing mortgage-backed securities.
With this action, more and more people rushed into investing in real estate and FOMO-ly bought commercial real estate stocks and pushed them to All-time-high.
At that point, commercial renting was a zero-risk investment as FED was acting as insurance for any losses.
However, by overly buying, these commercial stocks are now too over-priced, taking considerations on the impact of Covid-19 and RIOT.
Correction with take place soon.
TA
-DRV found the bottom at $12.60.
-The target for reversal: $21
-Squeeze and RSI are being bullish. Signaling bullish trend.
-DRV is trading below EMA: Bearish
In summary: need to wait for a trend reversal ($21 is the confirming price).
-Meanwhile: We can check out both DRV and DRN (3X bull commercial). Switching side with FED's schedule (term-note)
newyorkfed.org/markets/domestic-market-operations/monetary-policy-implementation/repo-reverse-repo-agreements/repurchase-agreement-operational-details
Good luck
FED actions in late May has disrupted the entire commercial rental and REIT market by overly purchasing mortgage-backed securities.
With this action, more and more people rushed into investing in real estate and FOMO-ly bought commercial real estate stocks and pushed them to All-time-high.
At that point, commercial renting was a zero-risk investment as FED was acting as insurance for any losses.
However, by overly buying, these commercial stocks are now too over-priced, taking considerations on the impact of Covid-19 and RIOT.
Correction with take place soon.
TA
-DRV found the bottom at $12.60.
-The target for reversal: $21
-Squeeze and RSI are being bullish. Signaling bullish trend.
-DRV is trading below EMA: Bearish
In summary: need to wait for a trend reversal ($21 is the confirming price).
-Meanwhile: We can check out both DRV and DRN (3X bull commercial). Switching side with FED's schedule (term-note)
newyorkfed.org/markets/domestic-market-operations/monetary-policy-implementation/repo-reverse-repo-agreements/repurchase-agreement-operational-details
Good luck
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