October 13, 2011
Shares of the ETF Powershares QQQ Trust (NASDAQ: QQQQ) have now closed above both their 50-day moving average and 200-day moving average.
The 200-day average is used by many investors as the dividing line between a bull market and a bear market, so its importance should not be underestimated.
At the time this article was written, just before the close on Wednesday, October 12, the QQQ was also ready to close at a higher level than the previous September 19 closing rally high that ultimately failed and retested the correction lows.
The correction appears to have a solid double bottom in place.
Lastly, investment advisors remain most bearish which to contrarians means the rally may very well have considerably further to go.
The Fibtimer.com (http://www.fibtimer.com) Stock Timing Strategy holds a position in the Powershares QQQ Trust.