My General Market Indicators remain at zero and my other technicals are going back to extreme low levels again. There were 11 new highs and 1,375 new lows in my universe of 4,000 stocks on Wednesday. This decline is beginning to look like the post crash period of 1929. The crash broke the up-trend and then the real slow multi-year decline began. The longer this decline persists the more it tells me that the economy will decline. The damage done to the accounts and confidence of the boomers is huge. It will take a long time and/or a huge long term advance in a bull market to induce these retirement oriented boomers to again throw their savings into the market. Wednesday was the 57th day of the current short term down-trend in the QQQQ, which remains in a longer term down-trend.
Dr. Wish
GMI: 0; GMI-R: 0; 56th day of QQQQ short term down-trend
There were only 6 new highs and 880 new lows in my universe of 4,000 stocks on Tuesday. The Worden T2108 indicator is at 10%. Still mainly in cash and short.
GMI: 0;GMI-R: 0; 55th day of QQQQ short term down-trend; T2108: 11%; QID
There were only 3 new highs and 460 new lows in my universe of 4,000 stocks on Monday. Monday was the 55th day of the current QQQQ short term down-trend. Since the first day of this down-trend on September 2nd, the QQQQ (Nasdaq 100 index ETF) has declined 37.7% and 99 of the 100 Nasdaq 100 stocks have declined, 52% have declined more than 40%. Do you see the folly of fighting the primary trend of the index? 99% of the stocks declined! Do you know how many persons are still looking for stocks to BUY??!!! In a down-trend one should be in cash or short. During this same period, the ultra inverse QQQQ ETF, QID, has advanced 87.5%. Now, that’s the way to play a down-trend!