A popular exchange traded fund tracking Nasdaq-listed technology stocks has managed to hold its 50-day moving average despite the recent pullback. Now, some tech bulls are using the PowerShares QQQ (NasdaqGM: QQQ) to position for a bounce in the sector as components Apple (NasdaqGS: AAPL), Microsoft (NasdaqGS: MSFT), Intel (NasdaqGS: INTC), Yahoo (NasdaqGS: YHOO) and eBay (NasdaqGS: EBAY) report quarterly earnings this week.
Also, IBM (NYSE: IBM) gets the earnings action started when it reports after Monday’s closing bell.
Wall Street analysts are looking for tech earnings to plow ahead again in the second quarter despite the effects of the disasters in Japan and signs the global economy is weakening.
Apple is expected to report on Tuesday. The stock has been moving steady higher since mid-June, often advancing in the face of a down market. For example, Apple shares were up about 2% Monday afternoon while the Dow fell over 100 points on global debt jitters. [Consumer Discretionary ETFs, Apple Send Bullish Signals]
Investors will be looking for the latest numbers on the Wall Street darling’s iPhone and iPad products, which increasingly threaten sales of personal computers.