Archive for the ‘ General Market Index (GMI) table ’ Category
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The QQQ (and the SPY and DIA) are following a pattern similar to the one formed in December and January. The market rises and then enters a downward sloping channel of consolidation. I have drawn in the channel lines in the daily chart of the QQQ below. There are three things I look for in […]
All of my GMI and GMI2 components are positive. The QQQ and SPY have now closed back above their 10 week averages. Time to trade on the long side again, at least until earnings season is over.
With the GMI stuck at a middle 3 reading (see table below), I thought it might be useful to analyze the Dow-30 stocks according to the patterns I have been writing about that use a modified GMMA chart. It is noteworthy that a little less than one half (14) of the Dow 30 stocks remain […]
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 […]
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. I use TC2000 to scan […]
IBD still sees market up-trend under pressure. The GMI is still on a Buy signal from January, but is holding to a middle 3 our of 6. The new QQQ short term down-trend must reach at least 5 days for me to be more confident about it. Interestingly, the IWM, Russell 2000 ETF , seems […]
Neither AAPL or the QQQ or SPY appear to be in an imminent down-trend. All are in RWB up-trends–for now. And look at the dollar! This is the pattern of a peaking stock. The GMI is at 5 (of 6).
Most of my readers know that using many of the indicators counted by the GMI (see box at bottom of this page) I was successfully able to stay out of the market during most of the 2000 and 2008 declines. After a bottom was in I reinvested on the long side. The GMI has a […]
I have found that since 2006, the GMI has done a good job of keeping me on the side of the general market trend. It is my cardinal rule to trade consistent with the market trend. While the GMI has helped me to exit the market in prior major declines, I have discovered an important […]
I read a lot of pundits who repeatedly claim that this market is topping. If they keep claiming this, someone will eventually be correct! But we technicians rely on indicators to guide our trading. We must always guard against marrying a scenario and be ready to change direction to be consistent with the market’s main […]