QQQ MACD Momentum
A trend-following momentum strategy that trades the Invesco QQQ ETF using MACD crossovers, filtered by a long-term moving average to stay on the right side of the trend.
Last updated June 18, 2026
The idea
The QQQ MACD Momentum strategy rides medium-term momentum in the Nasdaq-100 through the highly liquid Invesco QQQ ETF. It combines a classic MACD crossover entry with a long-term trend filter so the strategy only takes long signals while the broader trend is up.
How it works
- Trend filter — only consider long entries when the daily close is above the 200-period EMA. This keeps the strategy aligned with the prevailing trend and sidesteps most prolonged downtrends.
- Entry — go long when the MACD line crosses above its signal line while the trend filter is active.
- Exit — close the position when the MACD line crosses back below the signal line, or when price closes below the 200-period EMA.
Why a trend filter
A naked MACD crossover whipsaws badly in sideways and bear markets. Requiring price to be above the 200-day EMA filters out a large share of low-quality signals, trading frequency for signal quality — a common, well-documented improvement to momentum systems.
Parameters to tune
| Parameter | Default | Notes |
|---|---|---|
| MACD fast | 12 | Shorter reacts faster, more signals |
| MACD slow | 26 | Longer smooths the trend |
| MACD signal | 9 | Crossover trigger line |
| Trend EMA | 200 | Raise to be more conservative |
Next steps
Open this idea in Horizon to backtest it across years of historical QQQ data, review the equity curve and drawdown, then deploy it as an automated strategy through a connected broker.
