Dr. Wish

Blog Post: Day 1 of new $QQQ short term down-trend and GMI= RED; How I use my Weekly 10:30 charts for indexes, stocks and mutual funds and gold

@ 9:29 pm
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Last week I tweeted,  @WishingWealth, how my Weekly 10:30 charts helped me to stay on the right side of the market. As long as the 10 week average is above a rising 30 week average the market is in an up-trend. When the reverse is true it is time for me to be short or in cash. The Weekly 10:30 chart helps me to know the trend but I use finer criteria to time the exact entry or exit.

In addition, I do not want to hold or purchase any security unless it has the 10 week above the rising 30 week. See how these weekly charts show the trend of both a stock and a mutual fund. The 10 week average is the dotted line. The gray line in the background shows the weekly closing price. When the weekly close is below the 30 week average I become defensive and look for a possible exit.

QQQ is in a down-trend.

As is SPY.

And GLD closed back above its 30 week average and may be turning up.

And the GMI is 1 (of 6) and back to Red.


Blog Post: $QQQ short term up-trend could end after 3 days and GMI could go back to Red after 2 days, 100% in cash, these charts tell the story

@ 10:21 pm
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I have rarely seen my indicators whip-saw like this.  Only one US stock out of 7,022, PAG, passed my weekly green bar scan. Time to be in cash. QQQ is back below key daily moving averages.

And this weekly chart shows a steady down-trend with the 10 week average (dotted) below a declining 30 week average. We cannot fight the tide. How easy it was to profit buying stocks when the 10 week was climbing above the rising 30 week. It makes sense to me to wait for that pattern to reappear.

Similar story for SPY.

 

 

 

Blog Post: Day 2 of $QQQ short term up-trend; Only 6 IBD/MS stocks passed my weekly green bar scan: $XOM, $CVX, $LNTH, $AZPN, $AIR, $CEIX, see charts

@ 10:32 pm
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My weekly green bar scan finds stocks that have recently reached an ATH, have 4wk>10wk>30wk averages and 4 wk avg is rising and stock bounced up off of the 4 wk avg this week and closed up today. Their relative strength vs SPY also must be at a 20 week high. And they must be >$30. I ran this scan on my watchlist of stocks recently listed on IBD50 or MS growth250 lists. I found only 6 stocks out of 782 passed the screen. They are ranked by close today/close 250 days ago. Thus, CEIX and LNTH have  tripled over the past year.

Here is a weekly chart of CEIX. Note that this week’s price bar is green and check out the 4,10,30 week averages. A rising stock will repeatedly close the week above its 4 week average. If I buy a green bar stock I place my stop below the low of the green bar and may move it below each successive green bar. Note CEIX had a GLB 5 weeks ago and the 10 week average (red dotted) is climbing nicely above the 30 week average (solid red). This is my favorite yellow band rocket stock pattern. A close below the 10 week average would also cause me to exit.