Wednesday, November 10, 2010

Short-Term Timer has moved to LONG-CASH; prepare to close ST positions

Greetings from Spokane.  Today's entry will be sparse, as the home base is having Cox internet problems and I cannot access any of the updated GGT files.  Sorry for the inconvenience.  My summary is below:


  • We experienced a -1.05% drop in the price index on volume that was 19% above the 50d MA.  This is significant and can be considered a distribution day.
  • The slope on the 5d LCR value has turned negative.  This is a crack in the ice, and shows that the gains that we have achieved over the past few days are tenuous.  Any subsequent drop of additional LCR slope values will not bode well for the bulls.
  • The 13d EMA of the LCR remains stubborningly below the 21d EMA.  This too is another crack in the ice, and I do not want to see any further EMAs inverting.
  • The Short-Term LCR Timer has transitioned to LONG-CASH (0).  If today is down as measured by the ADV/DEC bar, then this will signal a short-term move to CASH.  My positions in QLD, UYM, and UYG are underwater at the present time so I am anticipating losses for these positions if we are forced to close today.
  • The Short-Term LCR Timer that uses the VTI (Vanguard Total Index) is still long.  I would suggest closing any VTI position for a profit if you can; I have locked in 1.49% in 4 days in the VTI.
  • The Elder FI(13) has had a negative slope for the past two days, but is well above 0.  Unless today is a terrible day overall this will remain long.  I do not advocate purchasing stocks until we get movement upward.

Remember, you are responsible for your own trading decisions, and I am not.  Please think before you act.