Stock Market Technical Indicators & Analysis
If a new QQQ short term up-trend develops, I will buy a little TQQQ in my trading account. But within a longer term down-trend I must be very nimble. See daily chart of QQQ below. Green dot signal finally worked for more than 2 days! Green dots work better in a longer term up-trend.
These 13 stocks hit an ATH last week and survived my weekly green line scan for technically strong stocks in an up-trend. They all hit 20 week highs in relative strength vs. SPY last week. The third column divides current price by its price 250 days ago. Thus LNTH has almost tripled, 2.87 and AMR is up almost 9x. SLVM has a null result because it did not exist 250 days ago. It is an IPO break-out stock and recently successfully tested its GLB. See weekly chart.
QQQ remains in a Stage 4 down-trend. The 30 week average (red solid line) needs to curve up for me to bank on a new up-trend. That is a long way off. Beware of possible sharp bear market bounces.
On May 9-12, between 1360-1625 of US stocks reached the lowest price they had traded in the past 250 days. From May 13-26, even though the indexes declined further, no day had more than 551 new lows. This meant that while the indexes declined to new lows, fewer stocks did. This is the reverse of what we had in November when the indexes were hitting highs but the number of new highs was declining and new lows were climbing, which alerted me to exit the market. Tracking the number of new lows and highs may be a worthwhile activity for gauging the market’s strength. This strategy is somewhat different than just calculating the difference between yearly highs and lows. I use TC2000 to count and record the number of new highs and lows after each day’s close. ATH=all-time high and the last column is my QQQ short term trend count. Having 100 or more new highs in a day is one of 6 components in my GMI (general market index) and explains why it increased to 1 ( of 6) today.
See how QQQ and SPY traded during this period.
