The GMI remains at zero and there were 556 new lows and 8 new highs in my universe of 4,000 stocks. The market was in a free-fall Thursday and it looks like a bounce is here. Cramer and all of the pundits keep telling viewers how to keep their money at work. Everyone has that special stock that will buck the trend. But since the QQQQ topped on July 19, it has fallen 9.7% and 89% of the 412 IBD100 stocks I monitor declined, along with 88% of the Nasdaq 100 stocks and 95% of the S&P 500 stocks. With odds like these, why try to pick the few stocks that will rise. Instead, I go to cash and earn interest and/or buy puts or the ultra inverse ETFs. Cramer was disingenuous Thursday night when he said that persons who went to cash in 1987 or 1998 would have lost thousands of Dow point rises in the following bull markets. Does he really think that a person who sold out in 1987 or 1998 would have stayed out of all of the subsequent market rises???????? Shame on Cramer and all of the pundits who advise people to ride these storms out. There is nothing like being on the sidelines during declines like this. I prefer to wait for the all-clear (from the GMI) before jumping on the next meaningful up-trend.
See my disclaimers below.