Dr. Wish

While the new QQQ short term up-trend is still intact, I reduced my long positions in my trading account on Thursday.   The GMI buy signal is still in place, but it pays to be careful in this environment.   IBD calls the up-trend under pressure and advises caution. I am still 100% invested in mutual funds in my university pension.   Thursday’s decline could set up a strong rebound if mutual fund window dressing occurs as the second quarter ends next week.

I am slowly adding to my position in QLD, the ultra long ETF for QQQ.   The fact that the market held up on Tuesday in the face of all of the FED talk is a good sign.   Mutual fund window dressing time is upon us. I am 100% long in mutual funds in my university pension and am adding to my long positions. The following stocks came up in my daily new high with good fundamentals scan: TCBI,JACK,SUSS,ALGT,PETM,HD,ULTA,SNA,ALXN,QCOR,PRGO,DG.   Many of these have been hitting a series of new highs.   Check them out.

For the first time since early May, the GMI has flashed a buy signal.   While there are no guarantees that this buy signal will turn out to be significant, I have found that since 2006, when the GMI is greater than 3 for two consecutive days, it often gives a useful signal to go   long.   I have bought some QLD and have a number of long positions.   The QQQ short term up-trend has now lasted two days.   If it can hold on for five days I will be more confident of the new trend.   However, I am ready to act quickly if the new up-trend should fail.   I am now back to 100% invested in mutual funds in my university pension.

LL looks like another stock getting ready to break to an all-time high from a multi-month base.   Click on chart to enlarge. If LL closes above 33.41 on above average volume, it may be the beginning of a significant break-out.