How To Track QQQ and SPY Performance Using Finviz

Staying on top of market movements is crucial for any investor, whether you're a seasoned trader or just starting out. Two of the most widely followed market indicators are the QQQ (tracking the Nasdaq 100) and the SPY (tracking the S&P 500). These ETFs offer a quick snapshot of the overall health of the tech sector and the broader US market, respectively. While numerous tools exist for tracking their performance, Finviz stands out as a powerful, free, and user-friendly option.

This guide will walk you through the steps of using Finviz to effectively monitor the QQQ and SPY ETFs, allowing you to make more informed investment decisions. We'll cover everything from basic charting to advanced screening, empowering you to leverage Finviz's capabilities for your market analysis.

1. Basic Charting: Getting a Quick Overview

Finviz's charting tools provide a straightforward way to visualize the historical performance of QQQ and SPY. Here's how to access them:

  • Navigate to Finviz.com: Simply type "Finviz" into your search engine or directly enter the URL.
  • Enter the Ticker Symbol: In the search bar at the top of the page, type "QQQ" for the Invesco QQQ Trust or "SPY" for the SPDR S&P 500 ETF Trust.
  • View the Chart: Once you enter the ticker, you'll be taken to the ETF's dedicated page. The main chart will display the price performance over a default time period.

Understanding the Chart:

  • Timeframes: Adjust the timeframe using the buttons above the chart (e.g., 1D for one day, 1W for one week, 1M for one month, 1Y for one year, YTD for year-to-date).
  • Chart Types: Experiment with different chart types (line, candlestick, bar) using the dropdown menu. Candlestick charts are particularly useful for identifying potential reversal patterns.
  • Technical Indicators: While we'll delve deeper into this later, you can quickly add basic moving averages (SMA) to the chart to identify trends.

This basic charting functionality gives you an immediate visual representation of the ETF's price action, allowing you to quickly assess its recent performance.

2. Analyzing Key Statistics

Beyond the chart, Finviz provides a wealth of fundamental and technical data. This information can help you understand the underlying factors driving the ETF's price.

  • Accessing the Statistics: On the ETF's page, scroll down to the "Financial" section. Here, you'll find key statistics like:
    • Market Cap: The total market value of the ETF.
    • P/E Ratio (Price-to-Earnings Ratio): While not directly applicable to ETFs, understanding the P/E ratios of the underlying holdings can give you insight into the overall valuation of the index.
    • EPS (Earnings Per Share): Similar to P/E, this reflects the earnings performance of the companies within the ETF.
    • Dividend Yield: The annual dividend payment as a percentage of the ETF's price.
    • Beta: A measure of the ETF's volatility relative to the overall market. A beta of 1 indicates the ETF moves in line with the market; a beta greater than 1 suggests higher volatility.
  • Interpreting the Data: Use these statistics to compare QQQ and SPY, or to compare them to other ETFs in their respective categories. For example, a higher dividend yield might make SPY more attractive to income-seeking investors, while QQQ's higher beta might appeal to those seeking more aggressive growth.

3. Utilizing Technical Indicators for Deeper Analysis

Finviz's charting tools allow you to overlay various technical indicators to identify potential trading signals and confirm trends.

  • Adding Indicators: Above the chart, click on the "Technical" tab. This will reveal a list of available indicators.
  • Popular Indicators for QQQ and SPY:
    • Moving Averages (SMA, EMA): Identify trends and potential support/resistance levels. Experiment with different periods (e.g., 50-day, 200-day).
    • Relative Strength Index (RSI): Measures the magnitude of recent price changes to evaluate overbought or oversold conditions. Values above 70 often indicate overbought, while values below 30 suggest oversold.
    • MACD (Moving Average Convergence Divergence): A trend-following momentum indicator that shows the relationship between two moving averages of a security's price.
    • Bollinger Bands: Measure volatility and identify potential price breakouts.
  • Interpreting Indicator Signals: Learn to interpret the signals generated by these indicators. For example, a bullish crossover of the 50-day moving average above the 200-day moving average is often seen as a buy signal. Similarly, an RSI reading above 70 might suggest a potential pullback.

Important Note: No single indicator is foolproof. It's crucial to use a combination of indicators and other forms of analysis to confirm your trading decisions.

4. Screening for Related Stocks within QQQ and SPY

Finviz's screener allows you to identify individual stocks within the QQQ and SPY that meet specific criteria. This is useful for understanding which sectors or companies are driving the ETF's performance.

  • Accessing the Screener: Click on the "Screener" tab at the top of the Finviz homepage.
  • Filtering by ETF Membership: In the "Descriptive" tab, find the "Index" dropdown menu. Select "S&P 500" to screen for stocks within SPY or filter by sector for QQQ.
  • Applying Additional Filters: Use the other filters in the screener to narrow down your search based on criteria like:
    • Market Cap: Focus on large-cap or small-cap stocks.
    • Industry: Identify specific sectors that are outperforming or underperforming.
    • Financial Ratios: Screen for stocks with specific P/E ratios, dividend yields, or other financial metrics.
    • Technical Indicators: Find stocks with specific RSI readings, MACD crossovers, or other technical signals.
  • Analyzing the Results: The screener will display a list of stocks that match your criteria. Analyze these stocks to understand which companies are contributing the most to the QQQ or SPY's performance.

This feature is particularly helpful for identifying potential investment opportunities within the broader market.

5. News and Headlines: Staying Informed

Staying up-to-date on the latest news and headlines is crucial for understanding the factors that could impact the QQQ and SPY.

  • News Section: On each ETF's page, scroll down to the "News" section. This section aggregates news articles from various sources, providing a comprehensive overview of the latest developments.
  • Pay Attention to Key Themes: Look for news related to:
    • Economic Data: GDP growth, inflation, unemployment, and other economic indicators can significantly impact market sentiment.
    • Interest Rates: Changes in interest rates can affect the valuation of stocks and bonds.
    • Geopolitical Events: Global events, such as trade wars or political instability, can create market volatility.
    • Company-Specific News: Earnings announcements, product launches, and other company-specific news can impact individual stocks within the QQQ and SPY.
  • Cross-Reference with Other Sources: While Finviz provides a convenient news aggregator, it's always a good idea to cross-reference the news with other reputable financial news sources.

Conclusion: Empowering Your Market Analysis with Finviz

Finviz offers a powerful suite of tools for tracking the performance of QQQ and SPY. By utilizing its charting capabilities, analyzing key statistics, leveraging technical indicators, screening for related stocks, and staying informed on the latest news, you can gain a deeper understanding of the market and make more informed investment decisions. Remember to always combine Finviz's insights with your own research and due diligence before making any investment decisions. Happy investing!