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The 30 week average needs to continue to curve up in order to begin a Stage 2 up-trend. As I have written, a down-trend can have QQQ rebound to the 30 week average and then fail. This week’s close will be very important.The GMI is still on a RED signal but could flash GREEN on Thursday. There are many stocks having a GLB that I will talk about as things develop. I will be much more likely to get long when/if the 10 week average climbs back above the 30 week average. We still have 4wk<10wk<30wk down-trend. There are many months for me to get aboard a genuine new up-trend. As a recent retiree, I am much more conservative in my trading.

Just look at a modified daily Guppy chart before buying or selling. A picture is worth a thousand words, or dollars. Ignore the fundamentals and stories. Just look at the stock’s behavior. I am sorry for those who are holding RH. In an up-trend all of the red lines must be rising well above the blue lines=RWB, see chart of USO. The dotted line shows the daily closes.

I do not reenter the market on the long side until the moving averages indicate an up-trend with the 4wk avg>10wk avg>30wk avg.The rally this week might offer the last chance to get out or trim holdings. Then again, if this is a true bottom I will have plenty of time to get long again. Real up-trends last months. I never fight the tape. Look  at this chart and see how nice it is to be long when the 4wk>10wk>30wk.  The GMI=0. When GMI= 5 or 6 my long setups are more likely to work.