General Market Index (GMI) table

Modified Guppy chart tells the story. Best time to trade QQQ type stocks is when the index is in a RWB up-trend with all Red shorter term averages climbing well above the Blue longer term averages with a White space between them. The RWB pattern was evident from mid-April to early June and trading break-outs in tech stocks  worked very well for me. The dotted line shows the daily closes. In a solid up-trend it leads all of the averages higher. The dotted line is now declining below all of the averages. When we get a close above all of the averages, and a RWB, we might see a meaningful change in trend.The market’s behavior reveals all.

Modified Guppy charts also work for stocks!! Before I buy or sell, I always check out the modified daily Guppy charts.

QQQ might bounce this week but still looks technically weak. Last Friday it did have a blue dot signifying an oversold bounce. Note the 30 day average, solid red line,  is curving down, a major sign of weakness.

NFLX has been in a daily BWR decline since May. Always monitor the daily modified Guppy chart.There are 12 exponential averages and one average=1 to show daily closes as a dotted line. The dots show daily low prices.

The GMI = 3 and the GMI2=1

The coil is constricting between the upper and lower 15.2 daily Bollinger Bands. Note the several failed blue dot oversold bounces. Which way will QQQ break out? Stay tuned. Earnings season is upon us.

The GMI=3 but the GMI2 of some more sensitive shorter term measures is =7. And QQQ’s Stage 2 longer term up-trend continues with its 10 week average above its rising 30 week average for the 10th week.