The GMI held at 5 (of 6) and the GMI-R at 9 (of 10). There were 130 new highs and 58 new lows in my universe of 4,000 stocks on Thursday. 63% of the Nasdaq 100 stocks closed above their 30 day averages. It is time for me to accumulate QLD and after Friday, to write new calls on IBD100 stocks. I write calls on growth stocks in up-trends that will not report earnings during the life of the option. I only write near term calls. So I will start writing May calls next week. Among the IBD100 stocks that meet these criteria and have decent call premiums above 4% are: RIMM, MON, MOS, MTL, FLS and GTLS. I may do buy-writes on some of these stocks next week. Meanwhile, I will wait for Saturday when my April calls will expire or be executed and my account will again have an infusion of cash. Making 4% each month is ample return for me. By the way, I am most successful writing covered calls when the QQQQ is in an up-trend, as is the case now. Check out CPST, now up almost 50% since I wrote about it on March 27: Judy can sure pick stocks!
GMI: 5; GMI-R: 9; QQQQ short term up-trend confirmed!; 41 IBD100 new highs
I wrote yesterday that the QQQQ was hovering on support and would either fall off of the cliff or bounce. On Wednesday, for the first time since February 26, I have registered more than 100 new highs in my universe of 4,000 stocks. There were 153 new highs and 50 new lows on Wednesday. 
(Click on chart to enlarge.) The last time the GMI was above 4 (it was 6) was on December 26, 2007. The QQQQ successfully tested its up-trend on Wednesday with 94% of the Nasdaq 100 stocks advancing. While very close, the QQQQ never violated its short term up-trend; Wednesday was the 17th day of the up-trend that I identified on March 25 (U-17). Again, I had to learn the lesson not to anticipate a change in trend and kept a lot of my longs through today, although I was hedged and made less money than if I had just stayed 100% long with the up-trend. It is now time for me to accumulate QLD (the Ultra long QQQQ ETF) and other strong IBD 100 stocks. 41 of the 523 stocks on the IBD 100 lists I have monitored the past year hit a new high on Wednesday. They are: BMI,AGU,VMI,POT,SID,MOS,MON,MEE,KSU,
SCHN,CF,X,GGB,CENX,KOP, BDE,TTES,XTO,NEU,OXY,BTU,
MT,NBL,WHQ,JOYG, RTP,ATW,EGN,RS,KWK,WFT,COG,SWN,BUCY,FTI,
HK,UPL,RRC,ATLS,OIL,ATN. Note how many of these stocks are from the oil, metal and agricultural chemicals industries. These stocks continue to lead this market. Stocks that break out to new highs quickly in an up-trend tend to be among the next rally’s leaders. The key is to buy strength and not to bottom fish. The fish on the bottom tend to eat garbage.
GMI: 3: GMI-R: 4; On the edge and hedged
The GMI and GMI-R each rose one, to 3 and 4, respectively. There were 71 new highs and 153 new lows in my universe of 4,000 stocks on Tuesday. The markets are right on the edge of the cliff. They will either launch a nice bounce from here or fall through support. I am holding hedged positions and waiting for a clear signal from the market. The dollar seems to be holding and gold and silver look like they have broken their short term up-trends. It is time to just wait for options expiration on Friday and for the market to reveal its near term direction.