GMI: 6; ATHR, NUAN and QLD
The GMI remains at 6. There were 485 new highs in my universe of 4,000 stocks on Tuesday, the most since December 5. All indexes I monitor are in up-trends. Tuesday was the 4th day in the current QQQQ up-trend, which appears to be breaking out of a multi-week consolidation. ATHR and NUAN, stocks with former cup with handle bases, appear to be moving up. Buying QLD again.
See my disclaimers at the bottom of yesterday’s post.
GMI: 6; GMI-S: 100; CEPH, GLD, NUAN
The GMI and GMI-S are all at their maximum values. 65% of the Nasdaq 100 stocks closed above their 30 day averages. 64% of the IBD 100 list from 2/5 rose on Friday and 20% of them hit new highs. There were 256 new highs in my universe of 4,000 stocks on Friday. Friday was the third day in the current QQQQ up-trend. The SPY has closed above its 10 week average for 29 straight weeks. With so many people skeptical of this rise, this up-trend may have further to go. CEPH still looks like a cup with handle in the making. GLD (pegged to the price of gold) also appears to be in an up-trend. NUAN, a cup with handle break-out, also looks strong.
GMI: 6; GMI=S: 100; buy QLD again?
The GMI is back to 6 and the GMI-S is now 100, indicating that all of the four short term indicators for each of four index ETF’s (DIA,SPY,QQQQ,IJR) are now positive. 56% of the Nasdaq 100 stocks rose on Thursday, along with 58% of the S&P 500 and 43% of the Dow 30 stocks. There were 369 new highs in my universe of 4,000 stocks. 65% of the Nasdaq 100 stocks are now above their 30 day averages. The QQQQ is now in its second day of a new up-trend. It may be time to wade into the QLD ultra QQQQ ETF again.
GMI: 5; GMI-S: 81; NUAN, ATHR, CEPH
Sorry I missed posting on Wednesday. The GMI is still 5 with the daily trend of the QQQQ too close to call. 80-90% of the stocks in the Nasdaq 100, S&P 500 and Dow 30 indexes advanced on Wednesday. There were 422 new highs in my universe of 4,000 stocks. The GMI-S rose to 81, indicating renewed strength in my short term indicators. Still keeping an eye on NUAN, ATHR and CEPH, some of which I own. These looked like cup with handle patterns and I wrote about them in prior posts. Check out my disclaimers below.
GMI: 5; GMI-S: 44: QQQQ down-trend?
The GMI fell to 5 and the GMI-S fell 19, to 44. 26% of the Nasdaq 100 stocks rose on Monday, along with 37% of the S&P 500 and 43% of the Dow 30 stocks. There were only 109 new highs in my universe of 4,000 stocks. The GMI-S fell to 44, as none of the four short term indicators for the QQQQ remain positive. Monday was the first day in the new QQQQ down-trend, but the moving averages are flat, indicating no strong up or down-trend. The QQQQ remains within its horizontal channel. Only 41 of the stocks from the IBD 100 list from 2/05 rose on Monday and only 46% closed above their price on 2/05. Only 51% of the Nasdaq 100 stocks closed above their 30 day averages.
Please note my disclaimers at the bottom of yesterday’s post.
GMI: 6; GMI-S: 63: QQQQ in a channel; NUAN–cup with handle?
This has been a frustrating period for riding a trend in the QQQQ. Even though the GMI is 6, the QQQQ has made no progress since late November. It is in a horizontal channel with resistance around 44.71 and support around 43.33. Until one of these levels is decisively broken, it will be difficult to make money trading tech/growth stocks. Still, the Dow and S&P 500 type stocks remain in an old and weakening upward trend and it is there that I probably have the best chance of riding a trend. On Friday, 12% of the Nasdaq 100 stocks advanced along with 19% of the S&P 500 stocks and 13% of the Dow 30 stocks. There were 265 new highs in my universe of 4,000 stocks. The GMI-S fell to 63, with weakness in the short term indicators for the QQQQ and DIA on Friday. The QQQQ is back below its critical 10 week moving average. This is not the time to be brave and make large bets in either direction…
Nevertheless, I did find another stock that appears to have broken out of a cup with handle base of about nine months. NUAN (see weekly chart) has a large prior up-trend, and a close above the top of the handle (pivot point) on extraordinary volume last week. It will be interesting to see if NUAN can buck the malaise evident in the general tech indexes.
The GMI remains at 6. 48% of the Nasdaq 100 stocks, 45% of the S&P 500 stocks, but only 27% of the Dow 30 stocks rose on Thursday. There were 327 new highs in my universe of 4,000 stocks. Thursday was the 5th day in the current QQQQ up-trend.
See my disclaimers at the bottom of my prior post.
GMI:6; GMI-S: 94;
The GMI held at 6 and the GMI-S rose to 94. 79% of the Nasdaq 100 stocks rose on Wednesday, along with 60% of the S&P 500 and 43% of the Dow 30 stocks. 68% of the IBD 100 stocks from the list published on 2/5 advanced. There were 477 new 52 week highs in my universe of 4,000 stocks, the largest number since 12/5, when there were 554. Wednesday was the 4th day in the current QQQQ short term up-trend.
GMI: 6; RATE climbs; CEPH–another cup with handle?
The GMI is still 6. There were a healthy 379 new 52 week highs in my universe of 4,000 stocks. 44% of the Nasdaq 100 stocks advanced, along with 61% of the S&P 500 and 53% of the Dow 30 stocks. Tuesday was the third day (U-3) in the current QQQQ up-trend. But its 10, 30 and 50 day averages are flat and almost identical. RATE, the stock I discussed on Sunday evening, broke out of a cup with handle formation on high volume on Tuesday. CEPH appears to be another cup with handle formation in the making, with a possible break out point of 78.40.
See my disclaimers in my prior post.
GMI: 6; ATHR breaks out; RIMM turning?
The GMI is still at the maximum reading of 6. Only 45% of the Nasdaq 100 stocks rose on Monday along with 43% of the S&P 500 and 57% of the Dow 30 stocks. 54% of the stocks in the IBD 100 list from 2/5 also advanced. There were 350 new 52 week highs in my universe of 4,000 stocks. Monday was the second day (U-2) in the current QQQQ up-trend. Note that I have added to my market index table the count of the number of weeks that the SPY closed above or below its 10 week average. Clearly, the SPY has been in a sustained up-trend much longer than the QQQQ, 24 weekly closes versus 1 weekly close above their 10 week averages. ATHR broke out on Monday on very high volume. RIMM may be resuming its up-trend.