The Invesco QQQ Trust (QQQ) ETF is a popular exchange-traded fund (ETF) that tracks the NASDAQ 100 Index (NDX). Holdings of the QQQ ETF are dominated by big tech companies such as Apple (AAPL), Amazon (AMZN), and Meta Platforms (META). This ETF enables investors to invest in the largest 100 non-financial companies. Remarkably, QQQ has gained about 38% in 2023 so far, and based on technical indicators, QQQ is still a Strong Buy near its current levels.
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QQQ ETF’s Technical Indicators
According to TipRanks’ technical analysis tool, the QQQ ETF stock’s 50-Day EMA (exponential moving average) is 341.90, while its price is $364.54, making it a Buy. Further, the moving average convergence divergence (MACD) also signals a Buy.
At the same time, QQQ’s price rate of change (ROC) of 2.68 points to a bullish trend. Meanwhile, based on Pivot Points, the QQQ has the next resistance near $368.29.
Overall, in the one-day time frame, the QQQ ETF stock is a Strong Buy, based on TipRanks’ easy-to-read technical summary signals. This is based on 15 Bullish, six Neutral, and one Bearish signals.
Is Invesco QQQ a Good Buy?
As per 1,210 top Wall Street analysts providing ratings on the QQQ’s 102 holdings, the ETF is a Moderate Buy, and the average price target of $386.92 implies a 6.14% upside. It is noteworthy that these top analysts have an impressive history of helping investors generate massive returns from their recommendations.
Moreover, according to TipRanks’ Smart Score System, the QQQ stock has a smart score of eight, which indicates that the ETF could outperform the broader market over the long term.
Ending Thoughts
The QQQ ETF has a commendable history of beating the S&P 500 Index (SPX) in nine out of the last ten years, with the trend continuing in 2023 so far. Additionally, the QQQ ETF stock has delivered an average annualized return of 17.7% in the past decade, ending in March 2023. These factors, along with analysts’ expectations of upside potential, are encouraging.
