The GMI fell to +3 on Monday. Monday was a feeble rebound from Friday’s severe decline. Only 47% of the stocks that hit a new high 10 days ago closed higher on Monday than they closed 10 days earlier. There were 185 new highs in my universe of 4,000 stocks, down from 326 last Friday. Only 54% of the stocks are in a short term up trend, although 67% are still above their 10 week averages. Only 18% of the stocks that have doubled during the past year hit a new high on Monday. Only 47% of the Nasdaq 100 stocks rose on Monday, compared with 57-58% of the S&P 500 and Dow 30 stocks. Only 38% of the Nasdaq 100 stocks closed above their 30 day averages, down from 71% on January 11. My indicators lead me to conclude that Monday was the first day in a new QQQQ down trend (D-1). I do not fight the tape.
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