DRV (06/23/2020)- Updates

FA
-FED has been started to reduce its balance sheet since June 10th
federalreserve.gov/monetarypolicy/bst_recenttrends.htm
This translates to less mortgage-backed securities owned by FED => lower stock price on certain commercial/reit companies.
-To understand further about FED's QE, here is the information.
visualcapitalist.com/the-feds-balance-sheet-the-other-exponential-curve/
-However, there is no guarantee that the FED won't repurchase those assets as Rioting caused damage for commercial rental properties across the country. Some may be fixed by insurance.
marketwatch.com/story/the-insurance-bill-for-damage-and-looting-during-protests-over-george-floyds-death-will-be-at-least-25-million-and-thats-just-in-minnesota-2020-06-04
-Upcoming stimulus bills might help businesses more than people (imo).
-People started to go shopping despite Covid-19 concerns
washingtonpost.com/business/2020/05/01/malls-reopen-coronavirus/

TA
-DRV might retest $17 price in the upcoming days.
-DRV is trading above EMA: bullish
-Squeeze, RSI: bearish
-Target price this week $16.5

Bottom line: DRV is still a risky bet.

Good luck and thank you.