GMI falls to +4; Major divergence in QQQQ

The GMI feel to +4, with only 74 (44%) successful 10 day new highs.  Stocks that hit a new high 10 days ago are unlikely to have closed Tuesday above where they closed 10 days earlier.  Gmi0221 The QQQQ is looking very weak.  Only 15% of the Nasdaq 100 stocks advanced on Tuesday, along with 35% of the S&P 500 stocks and 33% of the Dow 30 stocks.  The QQQQ fell below its 10 day average and all short term indciaotrs are negative. The GMI-S therefore fell to 63%.  The striking divergence between the QQQQ and the otehr indexes will need to be corrected soon.  At some point these market indexes will come into synch with each other.  Time to short the QQQQ?  IBD Meetup tonight.

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GMI: +5; All indexes strong but QQQQ; Some interesting stocks

All indicators held on Friday, as the GMI remains at +5.  Only the Daily QQQQ Index is negative, with the QQQQ in its eleventh day of a short term down trend (D-11).  Gmi0217 There were 307 52 week highs in my universe of 4,000 stocks.  33% of the Nasdaq 100 stocks advanced on Friday, along with 45% of the S&P 500 stocks and 47% of the Dow 30 stocks.  37% of stocks are in a short term up trend and 69% are in a longer term up trend.  39% of stocks closed above their 10 day average for the past 4 days, an indication of strength.  31% of all stocks are within 5% of their 52 week highs………….

The WPM clearly highlights the lagging Nasdaq 100 stocks.  Wpm0217 Only the QQQQ failed to close above its 30 day average.  In addition, only 47% of its components stocks did so, compared with 59% or more of the components of the other four indexes.  In contrast, all five indexes closed above their longer term 30 week averages, as well as 63% or more of their component stocks…….

I should not spurn all stocks now just because the Nasdaq 100 type stocks are relatively weak in the short term.  There are plenty of big cap stocks (especially financials) and small and mid-caps that are in up trends and ready to purchase. Nevertheless, it is always better to have all of these indexes in synch with each other.  Some stocks I am looking at are: KOMG, ADAM, OXPS and ET.

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GMI: +5; GMI-S: 69; All but QQQQ in up trend

The GMI remains at +5, even as the QQQQ remains in a down trend.  There were Gmi0216327 new 52 week highs in my universe of 4,000 stocks.  All indexes but the daily QQQQ index are positive.  The QQQQ is in its 10th day (D-10) of a short term down trend.  Some of the old leaders came to life on Thursday (GOOG +24.08; AAPl +1.35).  31% of stocks are now within 5% of their yearly highs………

A number of foreign banks have been especially strong:  BBD, UBB, CIB, ITU. Among Dow stocks, even GM, VZ, MRK and DIS appear to have turned up. 70% of the Dow 30 stocks are now above their 30 day averages, compared with 55% of Nasdaq 100 stocks and 63% of the S&P 500 stocks.

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