QQQ recently slipped below its 50-day moving average, but the fund remains more than 5% above the important 200-day moving average.

“he shares are still boasting a 23.7% year-over-year lead, and are testing a foothold near their 80-day moving average — a familiar layer of support that contained several pullbacks in 2017. As such, today’s activity in QQQ’s options pits could be indicative of a long tech trader initiating a hedge against any additional downside risk,” according to Schaeffer’s.

Investors have added $719.3 million to QQQ over the past month, good for the highest total among all PowerShares ETFs over that period.

For more news and strategy on the Technology market, visit our Technology category.

Tom Lydon’s clients own shares of QQQ, Apple, Facebook and Microsoft.

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