GMI: +4; U-1; Looking for longs

The GMI rose to +4 on Friday. The IBD growth mutual fund index is now above its 200 day average and closing in on its key 50 day average. Gmi0630 When these mutual fund managers make money in growth stocks, the odds are good that I can. There were 137 new yearly highs in my universe of nearly 4,000 stocks on Friday.  Friday was the first day in the new QQQQ up-trend (U-1).  The IBD 100 stocks are also coming back.  76% closed above their 30 day averages and 90% are above their MACD signal lines. Ibd0630  29% of the stocks on the IBD 100 list from 5/15 are now higher than they closed on that day. Eight of them hit a new high on Friday:  IBCA, CLDN, LVS, XPRSA, GRMN, HOC, OII, EXPD (I own some of these)……

I am slowly wading into the market on the long side.  It remains to be seen whether this rally will hold.

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GMI: +1; Too early to tell; 6 IBD 100 new highs

The GMI rose to +1, but it is too early to tell if this reversal will hold. Two other indicators are too close to call (?).  Next week should provide more clarity, after end of quarter window dressing is over and new earnings are anticipated.  96-100% of stocks in the QQQQ, SPY and DIA indexes rose on Thursday.  There were 96 new highs and 48 new lows in my universe of nearly 4,000 stocks.  Gmi0629 There were 6 new highs in the IBD 100 list from 5/15:  GRMN, EXPD, LVS, CLDN, LIFC, OII.  If this turn is for real, these stocks may be among the new leaders.

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