TradingMarkets 7 ETFs You Need to Know for Friday

Exchange-trading funds with exposure to the financial markets were among the biggest gainers on Thursday. The bullishness toward all things financial extended also to home building-oriented ETFs and other real-estate-indexed funds.

Short and leveraged short funds in general continued to pull back, some to the point of becoming exceptionally oversold. Some of the sharpest pullbacks above the 200-day moving average were to be found in short funds indexed to both the S&P 500 and Dow industrials.

Here are 7 ETFs You Need to Know for Friday.

ProShares Ultra Financials ETF, UYG (UYG | Quote | Chart | News | PowerRating), gained more than 6% on Thursday as buyers and traders covering short positions continued to move the ETF higher. UYG continues to trade below its 200-day moving average, but is increasingly oversold as its 2-period RSI crossed above 90 Thursday afternoon.

Conversely, the ProShares UltraShort Financials exchange-traded fund, SKF (SKF | Quote | Chart | News | PowerRating), earned a single-digit, 2-period RSI as the ETF continued to pull back toward its 200-day moving average.

Up more than 2% on Thursday, the PowerShares Listed Private Equity Portfolio ETF, PSP (PSP | Quote | Chart | News | PowerRating) is up for the third day in row. PSP is trading less than 2 points below its 200-day moving average, and is increasingly overbought.

The move to take out the July highs in the S&P 500 and Dow industrials continues to force pullbacks in leveraged short ETFs including the ProShares UltraShort Dow 30 exchange-traded fund, DXD (DXD | Quote | Chart | News | PowerRating), which pulled back by more than 3% on Thursday, and theProShares UltraShort S&P 500 ETF, SDS (SDS | Quote | Chart | News | PowerRating), which was lower by more than 2%. Both DXD and SDS are trading above their 200-day moving averages.

Benefiting from growing optimism toward the so-called FIRE (finance, insurance, real estate) economy, the Select Home builder Sector SPDR, XHB (XHB | Quote | Chart | News | PowerRating), was up more than 4% on Thursday, closing above its 200-day moving average for the first time since mid-May.

Also higher was the iShares Dow Jones U.S. Real Estate Index ETF, IYR (IYR | Quote | Chart | News | PowerRating), which gained more than 2% on the day. IYR remains below its 200-day moving average and its 2-period RSI climbed above 90 late in trading on Thursday.

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