Jon Najarian Recommends ETFs As A Protection In A Downturn (QID, FAZ)

OptionsMonster.com co-founder Jon Najarian sees ETFs as a good protection in a downturn. He recommends ProShares UltraShort QQQ (ETF) (NYSE: QID) as a hedge for the tech sector. QID is equivalent to 200% opposite of the performance of the NASDAQ-100 Index. ProShares UltraShort QQQ (ETF) (QID) gained 2.16% today and closed at $18.91 while tech stocks like Intel (NASDAQ: INTC) and Applied Materials (NASDAQ: AMAT) dropped 3.17% and 4.32%, respectively.

For the owners of the banking sector he recommends Direxion Daily Financial Bear 3X Shares (ETF) (NYSE: FAZ) as a good hedge. FAZ gained 5.16% while the leading banks painted the board in red. Bank of America (NYSE: BAC) slipped 3.33%, JP Morgan (NYSE: JPM) lost 2.26% and Wells Fargo & Company (NYSE: WFC) dropped 3.14%.