Blog Post: Day 1 of new $QQQ short term down-trend; IBD calls Market in Correction; 63 US new highs and 63 lows; cash is king, hiding in $TBIL, see its bizarre daily chart


I am concerned that the put/call ratio is only .91. There is not enough fear in this market to turn it around. The chart of QQQ is looking ominous. Short term support has not held. I am mainly in cash with some $TBIL in my trading account.

TBIL is an ETF that invests in short term treasuries. It pays a dividend monthly, which explains this unique daily chart. (TBIL is reduced by each dividend payment.) I enjoy seeing the dividend payment credited to my account each month. Its yield is a little over 5%. Check it out.



Blog Post: Day 14 of $QQQ short term up-trend, could end Wednesday; 52 new US highs and 69 lows, 14 at ATH; on Fed watch Wednesday; $ERIE at ATH after a GLB, see daily chart and the weekly flag pattern


ERIE reached an ATH on Tuesday. It has a very nice technical pattern, having gapped higher in early August and then consolidating sideways for 5 weeks. In early August, ERIE was added to the S&P MidCap 400. If the market holds on Tuesday, ERIE could rocket higher. It must not close back below its green line (286.49). Note the Bollinger bands are expanding after having constricted. ERIE came up on my scan for stocks at an all-time high, ATH. Keep in mind that few stocks are hitting yearly highs and there are very few at ATHs. ERIE has a MarketSmith Comp rating=99 and RS=93. Insurance companies are likely raising rates, and profits,  after  the recent climate related debacles.

Weekly chart shows a promising flag pattern.

Blog Post: Day 13 of $QQQ short term up-trend but GMI turns Red; 57 US new highs and 72 lows; End of quarter bounce still possible; 2 of my indicators suggest a bounce is imminent, see chart


QQQ is up against a rising 15.2 lower daily Bollinger band and my stochastics indicator is very oversold too (not shown). These indicators suggest to me a bounce is imminent. Also, the fact that the QQQ short term up-trend is still intact also leads me to believe  a bounce is coming. Of course, these indicators could fail Tuesday. We are also heading into a pinch of the upper and lower Bollinger bands, suggesting to me a large move is coming. Our job as technicians is to react after a definitive signal has occurred.