Futures portend down open; new QQQ short term up-trend in jeopardy; still in cash

@ 7:00 am
GMI0/6
GMI-22/9
T210824%

I have been saying for quite some time that we needed to wait until the counter-trend rally was complete in order to see if the recent bottom will hold.   If the bottom holds, we could see the rally resume.   Still, the market remains in a longer term down-trend for now and it makes the most sense to me to stay in cash until the trend turns up.   The new QQQ short term up-trend could end with a decline on Tuesday. With the GMI at zero, it makes no sense to have any long positions.

I love to watch the new high list for clues to the next leaders when the market recovers.   Most stocks hitting new highs are gold-related. However, several other strong stocks that I am watching are:   MAKO, JAZZ, COG, CF and ALXN.   I will watch them patiently until the market trend turns up and the GMI approaches 4.

2nd day of QQQ short term up-trend; in cash

@ 7:20 am
GMI1/6
GMI-23/9
T210831%

This new QQQ up-trend is uncertain for me until it reaches the 5th day.   Once a short term trend lasts 5 days it is much more likely to continue.   The adviser poll results in IBD show only about 4% more bulls than bears.   Having so many advisers being bearish is a sign of possible strength for the market.   If we could get more bears than bulls, we might have a true bottom of the decline in place.   Note that the T2108 is at 31%, back into neutral territory. I remain in cash.