The GMI is 5 and the GMI-R is 9. The QQQQ short term up-trend completed its second day on Monday. The put/call ratio on Monday was 1.29, suggesting that option traders are skeptical of this rally. So this up-trend may have a way to go. With mutual fund window dressing through the end of December, the strongest stocks (RIMM, ISRG, AAPL, CMG, ICE) may remain strong this week. I am in cash and will take positions in January.
Dr. Wish
GMI:5; GMI-R: 8; Reversal, but will it hold?
The markets rebounded quickly turning the GMI to 5 and the GMI-R to 8. Friday was the first day in a new QQQQ short term up-trend. It remains to be seen whether this new up-trend can hold through January.
GMI:0; GMI-R: 0; Tech bounce?
The GMI and GMI-R remain at zero. It does look like a RIMM inspired bounce may occur on Friday. Options expire Friday. I still do not trust this market. IBD says put/call ratio on Thursday was only .49–a bearish omen. It hasn’t been this low in months.