I noticed that the QQQ short term trend was turning down on Monday and so I sold some positions and hedged others with put options. We are in the period when earnings are mainly out and we often see a decline until 2nd quarter is over and earnings begin to come out in early July. IBD still sees market in confirmed up-trend.
Dr. Wish
19th day of $QQQ short term up-trend; $CYBR may break-out, $HACK has
I am very interested in stocks that come public, form a base and then break to new highs. CYBR is getting close to breaking out. It is close to a green line break-out. It may even be completing a cup and handle base, as seen in this weekly chart. With so many hacking events hitting the news, it may mean good business for cyber-security firms. Judy has been talking about CYBR for some time.
As an alternative to single stocks, there is a new ETF for cyber-security firms, HACK. HACK had a strong week last week.
The GMI remains strong and the longer term up-trend remains intact. But note that the SPY has closed below its 10 week average. Tech stocks are outperforming. Will SPY or QQQ lead the market?
18th day of $QQQ short term up-tend; waiting for July, $AMBA shines
While the longer term up-trend remains intact, I have reduced my long positions in my active trading accounts. My longer term university pension accounts remain invested long in mutual funds. I am still expecting some weakness in June while we wait for the release of second quarter earnings in July.
On the other hand, IBD says the put/call ratio reached over 1 on Thursday, indicating a lot of bearish option trades and a place where the averages tend to bounce up. Maybe Thursday’s decline was over-done. AMBA sure held up, showing that people are still following good earnings news.
