Trend Channel. Today's close was at the top of that trend channel. SMH is still below its 50 and 200 day moving averages and our recent support area was broken on Thursday.

Today's climb higher looked corrective in IWM and SMH and very constructive in QQQQ. Our mid-term system is still short and the small pullbacks from the last few weeks have not triggered a buy signal. This suggests that the mid-term trend is still down and that today's move was not the beginning of a new uptrend.

We currently have a neutral view for QQQQ. Even though today's move put the ETF only 1% away from its recent high, QQQQ is still below the uptrend line and the move was on lower volume. There is also a possible head and shoulder formation being carved out. With today's move being so strong and putting the ETF so close to the recent high, QQQQ is certainly the most bullish of the three ETFs we follow.

SMH still looks very bearish. It seems to be in a trend channel that started in the middle of October. Today's close was at the top of that trend channel. SMH is still below its 50 and 200 day moving averages and our recent support area was broken on Thursday. We believe that the ETF will push to the lower support lines this sell signal.

IWM stopped at our 76 resistance level today. The move looked corrective, meaning that it was a short-term move higher in the mid-term downtrend that started at the end of October. If this proves correct, IWM is headed to our support lines in the 73 area.

Today's move was a little surprising, but both IWM and SMH are still in bearish formations. Our subjective view on QQQQ is neutral. The next day or two should tell us whether the mid-term downtrend will resume immediately or after a short-term move higher.