QQQ - Invesco QQQ Trust (Nasdaq-100 ETF)

Core allocation recommendation: ~40% of portfolio in the NASDAQ. Notes it is ~7% overvalued currently but a long-term holding.

Fair value around $700 vs current ~$718; believes the market has already priced in rate hikes and rates are likely to be a bullish tailwind, making QQQ an attractive core holding.

NASDAQ-100 index is near fair value based on intrinsic value model; earnings growth is strong, and potential rate cuts would push fair value much higher.

QQQ is still considered a smart long-term holding, but high valuations and heavy concentration in mega-cap tech could lead to lower returns over the next 10-15 years. The presenter also notes QQQ may outperform SCHD in the long run if tech rallies again.

Starting at fair value with strong EPS growth; target price $824 by end of 2026 and potential double by 2029; top spot on stock sheet.

Raoul advises buying the NASDAQ as a broad technology index, holding through volatility and buying more on dips.

Despite weakness in semis, NASDAQ relative strength suggests further upside; multi-factor resistance (gap fill, pivot high, 88.6% Fibonacci) is the next major test.

Same bullish historical signal as SPY; QQQ shows positive average returns of 13.3% one year later and is green 100% of the time.

Tech-heavy; gap fill indecision but futures up; waiting for moving average cross.

Long-term buy opportunity after worst July in 22 years; Nasdaq average 11% annual return since 1999. Temporary selloff due to carry trade mechanics, not fundamental collapse.