With the GMI at 1, 6x more new 52 week lows than new highs, and only 8% of recent bounce on support set-ups working, I am on the side-lines in my trading accounts. I had written that declines often materialize after quarterly earnings are mainly out. We are now in the post earnings lull during the weakest market months of the year. Remember, “Sell in May and Go Away–Come Back at Halloween.” I have seen many declines end in October just before 3rd quarter earnings were released. As for me, I will be posting again next Wednesday evening.
Note all of the recent red volume spikes (distribution days) for the QQQ.