Overview of VFH
The Vanguard Financials ETF (VFH) seeks to track the performance of the MSCI US Investable Market Financials 25/50 Index. On September 25, it had a market capitalization of $3.08 billion, making it the second largest financial ETF after the Financial Select Sector SDPR ETF (XLF). On average, $1.65 million worth of VFH shares trade hands every day. It has an expense ratio of 0.12%
Moving average analysis
On September 25, the VFH closed at $46.65, below its 100-day, 50-day, and 20-day moving averages of $47.14, $49.20, and $49.63, respectively. The chart below shows that the VFH fell below its 100-day moving average on September 4. This is a sign of a falling trend. Although the price approached the resistance level of $47.16 on September 11, it could not breach it and fell again. It now trades in negative territory.
Also, the 20-day moving average and 50-day moving average seem to be approaching each other, and a crossover is possible.