Bullish Breakout Setup Looming for QQQ
QQQ closed above key resistance at 610 on 2026-02-25, closing at 616.42 after a strong rally that recouped prior week’s losses—suggesting a potential three-wave pullback-to-rally pattern. EMA alignment remains flat across EMAs 5, 9, 20, and 50 (all hovering near 609–613), indicating consolidation ahead of a directional breakout. The close above 610, combined with sector-wide strength (especially in Tech and Discretionary), supports a bullish short-term bias. However, resistance at 625 remains intact, and market breadth remains muted despite 10 of 11 sectors rising—highlighting caution in conviction. A decisive close below 593 would negate the short-term bullish case. VIX dropped to 18.63 on 2026-02-26, signaling declining fear and supportive conditions for risk assets.
Top ETF Picks by Sector
- XLU (Utilities) Score: 11, Strength:34
- IAUM (International) Score: 11, Strength:28
- VEA (International) Score: 10, Strength:42
- XLP (Staples) Score: 9, Strength:50
- XLE (Energy) Score: 9, Strength:49
- XLI (Industrials) Score: 9, Strength:45
- XLRE (Real Estate) Score: 9, Strength:33
- FMTM (Growth-Large) Score: 9, Strength:30
- XLB (Industrials) Score: 8, Strength:43
- VTV (Value-Large) Score: 8, Strength:31
- XSLV (LowVol-Small) Score: 8, Strength:25
- USMV (LowVol-Large) Score: 8, Strength:13
- SPY (Core-Large) Score: 8, Strength:13
- QTUM (Technology) Score: 8, Strength:9