4th day of $QQQ short term down-trend; $AMBA rocks

GMI

4/6

GMI-2

3/8

What is the GMI?
 

WORDEN T2108

51%

IBD says uptrend under pressure, but also that the put/call ratio was above 1 on Tuesday. Surprisingly, AMBA hit a new all-time high on Tuesday. It remains in a strong RWB up-trend and above its green line break-out. (I own some.)

AMBA03312015

Maybe funds wanted to dress up their end of quarter portfolios with this winner.

3rd day of $QQQ short term down-trend

GMI

4/6

GMI-2

5/8

What is the GMI?
 

WORDEN T2108

54%

But QQQ closes back above its 10 week average!  The bounce is holding thus far.

GMI holds; market due for 1st quarter earnings bounce?

GMI

3/6

GMI-2

2/8

What is the GMI?
 

WORDEN T2108

45%

The GMI rose to 3 on Friday (see table below), keeping the January Buy signal in place. Nevertheless, Friday marked the second day of the new QQQ short term down-trend. A good many of these short term down-trends since 2006 lasted under 5 days. I think it likely that we have finished with the customary pre-earnings lull/decline period and that the market will rise as we move into first quarter earnings reporting.

This daily chart of the QQQ suggests to me that the market may be in another trading range like the one we experienced in December and January. I have marked these ranges with  trend lines. The market bounced on Thursday above its bottom daily 15.2 Bollinger Band. I would have liked a more oversold reading on its daily 10.4 stochastic- it only reached a low of 34.  Thus, either the recent BB bounce will hold, or the QQQ will retreat again to an oversold stochastic, below 20. The market indexes tend to bounce back after the daily 10.4 stochastic declines to below 20. (Click on chart to enlarge.)

QQQ03272015

This weekly GMMA chart of the QQQ shows this index to be in a strong RWB up-trend.

GMMAQQQ03272015

With the GMI at 3 on Friday, my indicator remains on the Buy signal from late January.

GMI03272015

1st day of $QQQ short term down-trend

GMI

2/6

GMI-2

2/8

What is the GMI?
 

WORDEN T2108

45%

Another weak day and the GMI will flash a Sell signal.

7th day of $QQQ short term up-trend

GMI

5/6

GMI-2

3/8

What is the GMI?
 

WORDEN T2108

47%

IBD again sees market uptrend under pressure. A flat or down day on Thursday will change the QQQ short term trend to down.

6th day of $QQQ short term up-trend; $OVAS hard to eggnor

GMI

5/6

GMI-2

8/8

What is the GMI?
 

WORDEN T2108

58%

OVAS, a biotech I have been watching since its green line break-out, broke out again on Tuesday:

OVAS03242015

5th day of $QQQ short term up-trend

GMI

6/6

GMI-2

8/8

What is the GMI?
 

WORDEN T2108

59%

4th day of $QQQ short term up-trend; Trading RWB break-outs

GMI

6/6

GMI-2

8/8

What is the GMI?
 

WORDEN T2108

57%

IBD says the market uptrend has resumed.  All of my GMI and GMI2 components are positive. This GMMA chart of the NASDAQ Composite index shows it to be in a strong RWB up-trend.  Note the weekly close (dotted line) is back above all of the other moving averages. COMPQXGMMA03202015

 

 

I use TC2000 to scan for RWB stocks where the dotted line has climbed back above all of the other averages. This alerts me to advancing stocks that may have consolidated and have now resumed their up-trends. Below is an example. CELG is above a green line top, is in an RWB pattern and has just moved above all of its averages. I have had a lot of success trading such patterns. I think a key to success is that these charts are based on weekly patterns and the dotted line keeps me from being scared out of stocks based on daily volatility. The dotted line tracks today’s close relative to prior weekly closes.

CELGGMMA03202015

As for the GMI:

GMI03202015

3rd day of $QQQ short term up-trend

GMI

6/6

GMI-2

8/8

What is the GMI?
 

WORDEN T2108

50%

All of my GMI components are positive. IBD still sees uptrend under pressure.

2nd day of $QQQ short term up-trend; All that Jazz!

GMI

6/6

GMI-2

8/8

What is the GMI?
 

WORDEN T2108

54%

Jazz takes off, with an RWB pattern and a close above its green line top.

Screen shot 2015-03-18 at 7.44.38 PM



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