ETF Outlook for the week of March 31, 2014:
PowerShares QQQ Trust (NYSE: QQQ)
The NASDAQ Composite suffered its worst one-week loss in nearly 18 months as the biotech stocks weighed down the index. The QQQ tracks the NASDAQ 100 Index, which are the largest 100 non-financial stocks in the NASDAQ Composite. The ETF is now down 4.5 percent from the decade-high set early March and the RSI indicator is moving into oversold territory.
The magnitude of the pullback has not reached a level of panic and is still considered normal based on the fact the recent pullback remains well above the prior pullback in February. At this point the pullback appears to be much more a buying opportunity than a time to sell based on the chart patterns and the pullbacks over the last 18 months.
SPDR Energy ETF (NYSE: XLE)
The energy stocks have been trading in a range for a large portion of the last six months as XLE continually failed to break above the $88 area. Last Friday the ETF ...
More...