GMI: 6; Too many bulls?

The GMI is back to 6.  76% of the Nasdaq 100 stocks rose on Wednesday, along with 82% of the S&P 500 stocks and 83% of the Dow 30 stocks.   There were 238 new yearly highs in my  Gmi1129universe of 4,000 stocks.  Wednesday was the 72nd day of the current QQQQ up-trend.  One thing I noticed today in IBD bothers me a lot about this market.  The Investors Intelligence poll shows 57.5% of investment advisors bullish and only 22.3% bearish.  Such extreme bullishness is typical of markets that are topping out…

Blogdisclaimer

GMI: 5; Stocks bounce off support

The GMI is still 5, but this time because there were only 71 new yearly highs in my universe of 4,000 stocks.  Gmi1128_1 44% of the Nasdaq 100 stocks advanced on Tuesday, along with 54% of the S&P 500 stocks and 63% of the Dow 30 stocks.  63% of the Nasdaq 100 stocks closed above their 30 day averages.  Many stocks and market indexes bounced off of the important support levels I monitor.  It is very important that they hold these levels tomorrow.  Declines below these levels could cause the GMI to turn negative. Tuesday was the 71st day of the current QQQQ up-trend.

Blogdisclaimer

GMI: 5; GMI-S: 50; IBD 100 stocks have stalled

The GMI fell one, to 5 and the GMI-S fell to 50, down 50. Gmi1127  My short term indicators for all four indexes, especially the DIA, weakened Monday.  Still, there were 117 new highs in my universe of 4,000 stocks.  But only 6% of the Nasdaq 100 and S&P 500 stocks advanced on Monday, along with 10% of the Dow 30 stocks.  The last time we saw single digit advances in these three indexes was last June 5 (6%, 5%, 3%, respectively) , in the early stages of the decline that ended on July 18. Monday was the 70th day in the current QQQQ up-trend, which remains intact.

The IBD 100 stocks have not done much better than the Nasdaq 100 stocks recently.Ibdperf1127_1  Only 7-14% of the IBD 100 stocks in the five lists that I have been following advanced on Monday, compared with 6% of the Nasdaq 100 stocks.  But only 39% of the IBD 100 stocks from 11/20 closed higher than they did on the day the list was published.  Still, 80% of those stocks closed above their 30 day averages, better than the 60% of Nasdaq 100 stocks that did so.  Note how few stocks in these lists hit new yearly highs on Monday.  Growth stocks have stalled for now.  Blogdisclaimer