I’m back! On October 5th, I declared the beginning of a QQQ short term down-trend after a 63 day short term up-trend. The next day, the GMI flashed a Red signal. I heeded these signals and went to 100% cash in all accounts. Nobody knows when this decline will end. All 3 major indexes are in daily BWR down-trends. It is interesting how the CNBC pundits who never forecasted this decline are now full of explanations for why it occurred. Watch the market’s price action and ignore the talking heads.
Note the failed green-line break-out (GLB) for the SPY–always a major sign of weakness.
The daily RWB patterns of the FAANG stocks are over. The market’s love affair with these stocks powered the indexes higher and is now heading in reverse. All but AAPL are in BWR declines. Yes, even AMZN!