Have a look at this site for reviews of just about every guitar available.
http://reviews.harmony-central.com/reviews/Gui tar
Also have a look on ebay to get an idea of prices and see what you like the look of but I would suggest actually buying the thing from a shop/local seller so you can actually try out how it feels and sounds before you hand over the cash. You can get some nice Yamaha and Ibanez electrics for that money. Maybe try something with a humbucker after the single coils of the Strat?
Might be an idea to try to sell the Squier privately as trade in's at most music stores tend to give you a lot less than the value of any guitar, xmas is coming so people are looking to buy!