Worden T2108= 61%- highest since August 28; GMI: 2; GMI-R: 4

The Worden T2108 Indicator is now at 61%, the highest reading since August 28.   This means that 61% of NYSE stocks closed above their 40 day moving averages.  This reading places this market pendulum close to the area where tops have occurred (above 70%).   There were 11 new highs and 65 new lows in my universe of 4,000 stock on Tuesday.  Among the new highs were 5 stocks that have appeared on some of the IBD100 lists I have followed the past year:  SJI, SXCI, INSU, ROCM and SHEN.  (I own some of these.)  These stocks should be monitored for potential market leaders if this rally continues. The QQQQ has completed the 15th day of a short term up-trend. Happy New Year to all!

1 thought on “Worden T2108= 61%- highest since August 28; GMI: 2; GMI-R: 4”

  1. Hi Eric, thanks for the list of stocks. If you were to invest in one of them, what entry point do you think is a good one? Just to buy them immediately at a market price or wait for a pull back?

    Also, I wonder how to place the stop loss for such stocks. Is 3% too little? Is there any other way to calculate the ideal price for stop loss, eg. a price below 10 day MA? (I remember your advice “I NEVER buy/hold a stock that is trading below its 30 week average.” but I guess we want the stop loss somewhat more “safe” than that)

    Happy New Year to you too 🙂

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