Trading Idea: Key levels for ProShares Ultra S&P500

Published on Friday, 29 June 2012 08:42 Written by TradersHuddle Wire

New York, June 29th (TradersHuddle.com) - Shares of ProShares Ultra S&P500 (NYSE:SSO) ended the trading session close to calculated support at $50.45, a level that will raise the attention of traders looking for an entry point.

ProShares Ultra S&P500 (NYSE:SSO) is a fund that seeks daily investment results that correspond to twice the daily performance of the S&P 500 Index. The S&P 500 Index is a measure of large-cap U.S. stock market performance, which includes 500 United States operating companies and real estate investment trusts selected by the S&P U.S. Index Committee through a non-mechanical process that factors criteria, such as liquidity, price, market capitalization and financial viability.

Traders wanting to establish a position should pay close attention to ProShares Ultra S&P500's price action, and establish it as close to support as possible, but only after buying materializes. Traders should understand that the resistance point at $54.81 might limit their upside, however, if the stock breaks resistance, it could be a good point to add to the position.

Shares of ProShares Ultra S&P500 closed at $51.95 in the prior trading session.

ProShares Ultra S&P500 (NYSE:SSO) is a fund that seeks daily investment results that correspond to twice the daily performance of the S&P 500 Index. The S&P 500 Index is a measure of large-cap U.S. stock market performance, which includes 500 United States operating companies and real estate investment trusts selected by the S&P U.S. Index Committee through a non-mechanical process that factors criteria, such as liquidity, price, market capitalization and financial viability.