The leaders are swooning and this is not the time for me to be brave and stay in long positions. There were only 11 US stocks trading at ATHs on Friday. So purchasing stocks at ATHs is not for me. Also, DIA may be forming a double top. DIA has now closed below its 10 week average (blue dotted line). But it is still in a Stage 2 up-trend, until it trades below its 30 week average (red line). Time for me to be very careful–I am a chicken.
The GMI could flash red, with another day below 3 (of 6). When the GMI is red, it is very difficult for me to trade stocks profitably on the long side.
