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How Did QQQ Fare After Big Tech Earnings Week?

A 2.5% gap lower on Thursday sent QQQ reeling, but the ETF is still a big winner in 2024

Managing Editor
Nov 1, 2024 at 2:37 PM
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The buzz all week on Wall Street was about Big Tech earnings. Alphabet (GOOGL), Amazon.com (AMZN), Apple (AAPL), Meta Platforms (META), and Microsoft (MSFT) all reported earnings this week, with varied results. 

Amidst all this movement, the tech-heavy exchange-traded fund (ETF) Invesco QQQ Trust Series 1 (QQQ) is headed toward its first weekly loss since Sept.6 with a 0.9% weekly deficit. Most of the damage was done yesterday, when QQQ dropped 2.5%, interrupting a channel of higher highs carved since early-August that fell just short of its July 10 record high of $503.52. Year-to-date, QQQ is 19.6% higher. 

The options pits show a pretty even skew between puts and calls, but a greater emphasis on calls lately. On the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), QQQ's 10-day call/put volume ratio sits at 0.89. So while puts are outnumbers calls on an absolute basis, the percentile ranks in 89th percentile of its annual range, indicating the rate of call buying is elevated compared to other times in the past year. 

QQQ ETF
 

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