New up-trend is imminent? Going long–gradually
The GMI is now at 3 and the GMI-R is 6. As I wrote yesterday, it was possible that the major indexes would turn and break through their key moving averages. This happened, and if the QQQQ holds on Wednesday, I will start a new short term up-trend count. I like the QQQQ to stay above its key average for two days before I identify a change in trend. The fact that the Worden T2108 Indicator is recovering, now at 42%, suggests a meaningful swing to the bull side. 94% of the NASDAQ 100 stocks have their MACD above its signal line, a sign of short term strength. Many pundits are talking about the possibility that this rise is just forming the right shoulder of a head and shoulders top. The fact that many predict this top, makes me more skeptical that it is true. So I have closed out my shorts and have taken beginning positions in QLD and a few growth stocks. If this rally continues, I will add to these positions. If the up-trend fails, I will sell out.
Comments ( 4 )
Pieter Nijsten added these pithy words on Wed, 6-16-10 at 12:54 pmHello Dr Wish,
Since quite a while, I follow your facinating webblog.
Today, you talked about adding to your long positions.
I just wondered what your criteria are for a buysignal?Thanks in advance and all the best,
Pieter Nijsten
Belgium
Dr. Wish added these pithy words on Thu, 6-17-10 at 7:31 amMy criteria are shown in my GMI table posted every Monday morning.
BILL BILLBB added these pithy words on Thu, 6-17-10 at 8:21 pmHaving followed your site for 5-6 years, I find your signals very good, especially in scaling in and out.
I have spent some time trying to emulate your signals and believe I have found one that is accurate with a plus/minus of 2 days.
Good thing is that is works for most all ETFs (t2108).
Since you use TC2007(or variation)..
It is exponential 4dma x 17ma, up or down. You can tighten/length signal by a day or so by using 18 – 24 dma as the longer average.Could be a nice student effort to correlate the accuracy with your signals. Of course, your signals beging to give warnings about getting in/out. and this doesnt..
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