January 12, 2011
Shares of the ETF Powershares QQQ Trust (NASDAQ: QQQQ) have reached a new rally and a new 2011 high.
In fact, the last time the Q’s reached this level was all the way back on February 14, 2001. Ten years ago. An amazingly long time and this new high is still far from the highs in 2000 near $120 a share.
The current high is above our posted resistance level at $55.81. It is not decisively above so we do not yet consider it a breakout, but new highs are bullish no matter.
The Q’s are overdue for a correction as is are the rest of the major indexes. But being near the beginning of a recovery that could take years, the potential for considerably higher highs is good over that time frame.
If we move lower over coming weeks, there is support at $54.00 a share.
The Fibtimer.com (http://www.fibtimer.com) ETF Timing Strategy holds a position in the Powershares QQQ Trust.