The GMI remains at zero, and the GMI-R, at one. The Worden T2108 indicator is now at 29%, up from an extreme low of 8% on July 7. 41% of the Nasdaq 100 stocks have now closed above their 30 day averages, also up from a low of 8% on July 7. Tuesday was the 29th day in the current QQQQ down-trend. I am mostly in cash but am nibbling at a few strong stocks that are near new highs and in strong up-trends. As soon as I make each small pilot buy, I put in a sell stop to minimize any inevitable losses. It is so much easier to make money on the long side during market up-trends.
Month: July 2008
GMI: 0; GMI-R: 1; T2108: 21%; 28th day of QQQQ down-trend; QID: +14.7%
The GMI remains at zero while the GMI-R rose one, to 1. This is because there were 31 new highs and 30 new lows in my universe of 4,000 stocks on Monday. The Worden T2108 indicator rose to 21%, out of extreme bottom territory. Since I identified when this down-trend began, the QQQQ has declined 7.8%, and in that time, 81%of the Nasdaq 100 stocks declined, 39% declined by more than 10%. If I had simply bought the utra short QQQQ ETF, QID, and held it for the past 28 days, I would have made 14.7%. Why fight the tide when one can swim with it so profitably.
GMI: 0; GMI-R: 0; 27th day of QQQQ down-trend
The GMI and GMI-R are back to their minimum readings. There were 36 new highs and 58 new lows in my universe of 4,000 stocks on Friday. 