Nasdaq-100 Trust (NASDAQ: QQQQ) At Support Says Market Timer Frank Kollar
April 3, 2007
The exchange-traded fund Nasdaq-100 Trust (NASDAQ: QQQQ) has reached a support level that, so far, has held this widely traded ETF from further declines. Will a new advance begin from current levels?
The Qs are not out of the woods yet. The current decline has reached the 50% retracement of the fast mid-March rally at about $43.30. The strongest support levels, and ones most likely to result in a reversal, are the 50% and the 61.8% retracement levels. The 61.8% level is at $43.00.
If the Qs can mount a decent rally day, with higher volume, while holding above the critical lower support level at $43.00, it could be the start of a sustainable advance. Should the Qs close below $43.00 a share, we could see a retest of the $42.06 lows.
The Fibtimer.com (http://www.fibtimer.com) ETF Timing Strategy currently has a position in the QQQQs.
Kollar’s research has shown that the financial markets are in tradable trends approximately 80 percent of the time. FibTimer strategies define trends and trade them in both advancing and declining markets. Caring nothing about what newscasters say or what the latest economic indicator predicts, trends are where the profits are, and that is where FibTimer is.
Kollar is editor and chief analyst at FibTimer.com (http://www.fibtimer.com) which offers market timing strategies for S&P and Nasdaq index fund traders, as well as bond, gold, small cap, sector, ETF and stock trading strategies.
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