2023-10-11W UPtrend Day 4 – The Uptrend climb continues, driving above 50-day line!!!
Today, the market continued rising in the NEW UPTREND.
Note on the Nasdaq 9-month chart below….. Yes, the Nasdaq lost ground over the last quarter, but I am encouraged that the last two weeks showed 10 rising days and only 2 down days.
The Nasdaq continues to rise, step by step. And the Nasdaq continues to out-perform the S&P500 which is outperforming the poor DJIA. The Nasdaq did have a slight disappointment with lower volume Wednesday while the NYSE volume rose showing market interest in safety this slower moving index – slower rises can also translate to slower loses.
I am excited that the Nasdaq has made such a consistent rise over the last 3 weeks.…. See my note after the Nasdaq chart below.
A reminder: No matter which index you first learned about when studying the market….. the Nasdaq will usually rise faster than the S&P500 which will rise faster than the DJIA.
BUT REMEMBER: In a downtrend, the reverse happens: The Nasdaq falls the faster so it is your responsibility to watch the market and get your money out when a downtrend occurs.
And the harder they rise,…. the harder they fall.
Even after the market dip over the last 2+ months, the Nasdaq ()NDQC) has more than doubled the return of the S&P500.
I want to see how the market moves on Thursday. I expect the volume is lower because of the war in the middle east. Who knows what the impact will be….?
>>>> PLEASE REMEMBER: If this new Uptrend holds,…so will I!
If the Uptrend fails, there is no shame in exiting a sinking ship. But I have a good feeling about the timing. The summer vacations are mostly finished. The traders are coming back at their desks. And the last quarter is underway! With the first few hints of a good market, I am optimistic. But , “No!” I will not go on vacation until the end-of-year holidays gang up on us.
WHAT ABOUT THE QQQs?
Add some daily volume to the Nasdaq and a continued rise (even a gentle one) which keep me in the QQQ. In fact, I am watching for a second confirmation of this new Uptrend to move into a multiple QQQ position.
On the 20-dayhistory of the Nasdaq, I really want to see a few more accumulation days (when price and volume rise together.)
>>>When will the Nasdaq pop its head back above its 50-day moving average line? It could be Wednesday. The Nasdaq rose 7 of the last 10 days…. and only one day fell with higher volume to create a distribution day.. Stay tuned. Hmmmm 7 days UP versus 2 day down. I’d call that an UPTREND hint!!.
Now look at what a NEW UPTREND looks like on the MARKET FACTOR, COUNTS &RATINGS table below. Wow! look at all the green!
>>> I am looking for a rise in the market after the recent 2 1/2 month correction. A good way to verify that positive movement would be to see the rightmost column in the WEEKLY ACCUMULATION/DISTRIBUTION RATINGS of STOCKS table below (labeled ”A+B”) start moving higher. When the number of stocks with A or B ratings rise, I know there is serious money flowing into the stock market.
One additional reminder – comparison of the 3 major indexes as of last Friday.
One additional “Word to the Wise”…
>>>>>--- MOST MARKETS FALL FASTER THAN THEY RISE so give this market some time to reclaim (and beat??) its prior highs.!
Please send questions, comments,suggestions, ideas and requests to: My text message account at(214) 995-6702.