For the first time since early May, the GMI has flashed a buy signal. While there are no guarantees that this buy signal will turn out to be significant, I have found that since 2006, when the GMI is greater than 3 for two consecutive days, it often gives a useful signal to go long. I have bought some QLD and have a number of long positions. The QQQ short term up-trend has now lasted two days. If it can hold on for five days I will be more confident of the new trend. However, I am ready to act quickly if the new up-trend should fail. I am now back to 100% invested in mutual funds in my university pension.
LL looks like another stock getting ready to break to an all-time high from a multi-month base. Click on chart to enlarge. If LL closes above 33.41 on above average volume, it may be the beginning of a significant break-out.
