Stock Market Technical Indicators & Analysis
During the recent 59 day up-trend (5/26-8/18), QQQ rose 8.4%, SPY rose 4.8% and DIA rose 2% but TQQQ rose 26.3%, beating 90% of the Nasdaq100 stocks and 95% of S&P500 stocks. That is why when a new QQQ short term up-trend begins I slowly accumulate TQQQ. By the way, TNA declined -13.3%.
Note mini-decline in mid July. When/If daily close (dotted line) climbs above the 6 shorter red averages it will be time for me to go long again.
When highly vaccinated Israel is dealing with a rash of new cases it is very ominous for the U.S. which has lower rates of vaccinated people. Bonds are rising suggesting economic weakness even as the Fed is talking about tapering bond buying. The QQQ short term up-trend is likely to end today. And we are entering the weakest months for the market. And we have a bunch of market participants who have limited experience with a prolonged down-trend. I have moved to cash and SQQQ in my trading accounts. I am a chicken–better safe than sorry.
