ProShares Short QQQ

PSQ

Market cap $658M

There's been a lot of upbeat change in the Nasdaq since the last time Kevin Davitt (@nasdaq) appeared on our network in March. He examines the index's outperformance over recent years and how it compares to historical trends.

After a long wait, tech stock investors have plenty to cheer about. It took a whopping 167 days, but the Nasdaq-100 index last week surpassed its previous closing high from back in October 2025 while also racking up its longest daily positive streak since 1992.

Inverse ETFs like SH and SPDN could benefit as Middle-East tensions and rising volatility keep U.S. markets under pressure.

AI disruption fears triggered a sharp software stock selloff. Explore inverse ETFs that could help investors hedge or benefit from the ongoing tech rout.

CNBC's "Fast Money" team detail their final trades.

Key Points in This Article: Inverse ETFs are investment vehicles designed to deliver daily returns opposite to a specific index, using derivatives like futures to hedge against market declines or capitalize on bearish trends.

PSQ is designed for short-term hedging against Nasdaq-100 declines, not for medium- or long-term investment due to negative compounding effects. Key macro indicators—Buffett Indicator, Treasury yields, DXY, Bitcoin, consumer sentiment, and macro uncertainty—signal when PSQ may be attractive for tactical hedging. Currently, I see no immediate catalysts for a Nasdaq-100 correction, so I do not recommend buying PSQ at this time.

Nvidia made early investors rich, but there is a new class of ‘Next Nvidia Stocks' that could be even better.

The SH and PSQ ETFs provide simple inverse exposure to major U.S. market indexes.

Inverse index ETFs like ProShares Short S&P 500 and ProShares Short Nasdaq-100 can effectively hedge portfolios during market downturns, enhancing long-term returns. Manual technical analysis and proprietary quantitative models can guide strategic use of inverse ETFs, providing protection and potential gains in volatile markets. In bull markets, consider inverse ETFs as short-term hedges. In bear markets, consider reversing the strategy to generate gains from inverse ETFs as long-term positions.