QQQQ and Spy

bbsphere · Joined: 10 Jan 2008 Posts: 1

The QQQQ and SPY are starting to look interesting to me. I don’t think they’re a buy just yet but they may be a buy in about a week or so. They look like they’re trying to rebound but it’s still too early for me to jump in. I need to see more upward movement in them to make me feel comfortable in owning them for a trade.

What does everyone else think?

StockOrder · Joined: 28 Apr 2006 Posts: 10

I guess the question is are refinances really soaring?

Do not expect to see as many refis as when home prices were rising. Refis will be hampered by people being underwater on their mortgages, unemployment rising, and credit card defaults rising. All three of those will have a negative effect on FICO scores at a time when refis are going to require better FICO scores.

Most importantly, those who most need to refinance will not find it so easy, especially if they are upside down on their mortgage or out of a job. Refinance relief and lower mortgage rates are starting to become available, but only for those who least need it.

My 2 cents....not the best time to get involved with QQQQ or Spy