The GMI is now at 6 (of 6) and the GMI-R is 10 (of 10). The daily GMMA chart of the Dow below (click on chart to enlarge) shows that all short term averages (black) are now above the longer term averages (red). Time for me to wade slowly back into this market. Getting ready to sell out my UNG if it declines below 7.80 on Tuesday.
Is this a good recipe for buying high, selling low? What if UNG turns right around for a nice bounce? Will you buy after it shows good upward momentum, then sell again when it falls? Kind of hard to make a profit like that.
I try to catch a multi-month up-trend.I don’t mind making multiple pilot buys and taking small losses until I catch a genuine up-trend. Probably, when I finally give up, the real up-trend will begin!