Tech ETFs and the Silicon Valley Comeback
October 22nd 2010 at 1:00pm by Tom Lydon
There’s been a resurgence in the technology sector and its exchange traded funds (ETFs). But instead of start-ups scrambling to launch any and every website, Silicon Valley has turned its focus to clean energy.
Silicon Valley is no longer all about information technology – it’s getting in on the growing interest in the alternative energy industry. Call it a bit of soul-searching after the dot-com bubble burst, says The Wall Street Journal. The industry there began to think of branching beyond what had been its bread and butter, and sees the opportunity in clean technology. [Why Solar ETFs Are Getting Warmer.]
Of course, not all of these companies will be successes, but the general belief is that alternative energy technologies stands to be Silicon Valley’s next big growth spot. [Google's Cash Could Power Wind ETFs.]
Keep in mind that alternative energy is still a relatively young industry. Many companies in the sector are reliant on venture capital, and the industry is also not immune to sharp drops in demand when oil prices decline. Utilize the 200-day moving average in order to spot opportunities in this growing sector; premium members can sign up for alerts to be notified of trading opportunities.
- PowerShares CleanTech (NYSEArca: PZD)
- Powershares WilderHill Clean Energy (NYSEArca: PBW)
- iShares S&P Global Clean Energy (NYSEArca: ICLN)
- First Trust NASDAQ Clean Edge Green (NASDAQ: QCLN)
The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.