GMI: +2; Holding cash

The GMI is +2 and we are in the second day (D-2) of the new QQQQ down-trend. I will wait to commit funds until after earnings season.  Since 5/15, only 27% of the IBD 100 stocks listed on that date and 34% of my universe of nearly 4,000 stocks have advanced at all.  With odds like these I should only be short or in cash.  My scan of the market yielded 16 rocket stocks and 384 submarines.  Only 2 IBD 100 stocks (PMTI, CME) from the list on 5/15 hit a new high on Friday.  It would be insane to chase growth stocks and anticipate new highs in this market.

Please send your comments to:  ewish@comcast.net.

• Next Post »
• « Previous Post

Add a Comment