After only two days since calling a correction, IBD now sees the market back in an up-trend. I am not the only one who can get whip-sawed by this market. The GMI Buy Signal remains in effect since late February. It will be important to see if the snap back rally on Thursday can continue into next week. Interestingly, XONE, came right back with the market on Thursday. I am holding this position, based on the exciting 3D printing concept. Note how XONE has found prior support at its 30 day average (red line). The ideal buy point for me would be at that average, but who knows if it will bounce there again? It all depends on the strength of the market.
As always, I remain grateful for your insights.
In the 2012 TC2000 Use Group Webinar for which there’s a link on the right side of your home page, you list statistics for using the GMI for a span of approximately 6 years (this appears around the 61 minute mark). Could you tell me if those statistics are for long only, or if they assume shorting the market when the GMI falls to 2 or below?
They were to guide my going long only.