Investor Sees Bearish Pattern in Huge Tech Rally Behind High 10 World ETFs.
Ana Paglia, who oversees the tech-heavy Invesco QQQ Beliefsees that traders are beginning to take a defensive view for the group.
The agency’s world head of exchange-traded funds and listed technique advised “ETF Edge” this week, “For those who take a look at the flows which have flattened up to now, it signifies that there is probably not excessive confidence within the brief time period.” “
QQQ, which tracks Nasdaq 100 The index hit a 52-week excessive on Friday. Additionally, it has carried out higher S&P 500 over 17% in 2023.
Greater than half of the fund’s allocation is in know-how shares. High holdings of the ETF embody Microsoft, Apple, Amazon And Alphabet — which is up greater than 30% because the starting of the yr.
two different prime holdings, meta platform And NVIDIA, are over 100% for the yr. Nvidia is ready to report its quarterly earnings on Wednesday.
“Individuals do not know whether or not … this efficiency is simply pushed by megacaps or if there’s extra to it,” she mentioned.
Nonetheless, Paglia means that the problems usually are not everlasting.
“We stay a agency believer in QQQ, however it’s a wait and see for our prospects,” he mentioned.
The QQQ was up nearly 4% this week.
