11-07-23T UPTREND Day 5, Nasdaq has 8th Rising Day in a Row! Wow!

11-07-23T  UPTREND Day 5, Nasdaq has 8^th Rising Day in a Row! Wow!

I am NOT messing around tonight - starting tonight’s discussion with a look at the TQQQ.  I hope you are ALL holding it.  In fact, I am not holding anything else tonight. I have earned some amazing returns by holding the TQQQ in a pleasant rally like the last 8 days. I do not know how to identify a rush higher likethe TQQQ over the last 4 days, but I have seen the market rise

Please understand that I did not know how to get in at the bottom of a run like the one we are in.  But you don’t have to hit me in the head with a calculator to get my attention.

On 11/1/23, the Nasdaq gapped up on the open (first big hint) closing at the top of its range with a 1.7% rise for the day, having opened on top of its200-day moving average line and closing at the top of its range, up 1.7%(remember we are talking about the TQQQ.) And volume popped 51%! Hello!

The next 2 days gapped up on their opens and closed +5.3%, +1.3%. The rise continued +0.4% on Monday. Was the rise finished? I thought the runup might be ending but hung in…..for Tuesday’s 2.8% rise.

Note where each day closed in its day’s range during this runup!...... after the first upward reversal on Friday, 10/27, I watched for the next 2 days from the sidelines.When I saw the TQQQ open on the top side of the 200-day and keep going, I bought a position. (Buying a position in a stock I am interested in always makes me pay tighter attention to it, even if the position is a small one.)

The bottom line to this “journey in progress” is that the TQQQ is up 28.3% since the October 26bottom. Today’s lower volume may signal the runup is nearly over. But the 2.8%rise today on higher volume than yesterday, has not convinced me to sell it and book the gains….. yet.

Let’s see what tomorrow brings.

When you compare the QQQ and TQQQ charts, it’s hard to tell them apart – until you look at the numbers.  The Tripple QQQ have risen21.4% in the last 6 trading days. (that’s when I first jumped in.)   Notice the similarities of the TQQQ below andQQQ (below the TQQQ.)

And the QQQ:

>>>>>And the REALLY GOOD NEWS:  The Tripple QQQ (TQQQ) which I use in a rollicking market as we had in the last 2 weeks, rose 14.6% (ending with a20.1% rise for the week.)  

>>>>>Do you see why I ride the TQQQ when the trend is strong.

Even though the indexes continued a bit higher on Monday, they took a deserved rest on Tuesday with smaller rises and just a little rise in the Nasdaq’s volume, with a stronger nod to the rising market volume.

Please consider using the TQQQ (triple QQQ) in a strong Uptrend like the current market.  I am not complaining about their small 1.1% Monday rise?  (Did I really call 1.1% “small”?  I think the Triples are spoiling me!  

Note the single QQQ chart looks very close to the triple TQQQ chart.  But if you were in the triple QQQ (TQQQ)during that time, you would have earned about 200% more. Here’s the year-to-date comparison of the 3 QQQ ETFs we have been talking about.

Even on a slower day, I would rather hold the TQQQ in an Uptrend:

After the market hesitated in growing the A, B and C rated stocks for a month, look at the week ended on Monday (11/7) below. The number of A, B and C rated stocks rose this week. But look at Monday’s A+B total’s rise from 21% to $46!

WOW! Note the increase in stocks with A or B ratings in the last week! (Note the rightmost column above which adds up stocks with A or B ratings. In one week, that sum rose an encouraging 21%!

And remember, most indexes fall faster than they rise.

>>>>>Please remember: I do not know how to get in at the bottom  or out at the top. I just  get closer than most.

We don’t know it’s a top until after we have ridden the market down for a bit.

But I get closer to the turning points than most.  

YEAR-TO-DAY GAINS,

If you had gotten IN at the beginning of the year and out at the March low you would have been UP about 20% which alone is a pretty good year. But I hope you would have stayed around and considered getting back in as the TQQQ broke to a new high.

I’ll let you ponder those questions.  On a MarketSmith chart, you can play out the stock timing drama. You can reveal the chart one day at a time to see how well you would have timed it.

>>>>LESSON to NOTE:  Most indexes drop faster than they rise but this drop is accelerating! Please take a few minutes to look at the stocks you own (QQQ, TQQQ and any individual stocks).

From the lower Nasdaq price 20 days ago (10/12/23), it was a tumble down the hill for the next 12 days with only 4 days of mostly small rises (only 10/16had a rise of 1+%.)

BUT WHAT HAPPENED ON 10/30? …… A real runup for the next 8 days…. 8 days that just kept rising  higher each day! What a clear market direction turnaround!

From the lower Nasdaq price 19 days ago (10/12/23), it was a tumble hill for the next 12 days with only 4 days of mostly small rises (only 10/16had a rise of 1+%.)

BUT WHAT HAPPENED ON 10/30? …… A real runup for the next 7 days…. 7 days that just kept rising  higher each day! What a clear market direction turnaround!

Today’s Nasdaq closing price was a 19-day high!

Look below at the MARKET FACTOR, COUNTS & RATINGS table for more encouraging news.

‍

REMEMBER: _____EVEN IF CASH IS A VALID POSITION,…with a fast rising market, you should consider holding a position that allows you to position your portfolio to rise with the market (or a multiple of it.) Stay tuned!    Those birds just aren’t going anywhere!

One additional “Word to the Wise”…

>>>>>--- MOST MARKETS FALL FASTER THAN THEY RISE. Beware of buying any new position unless they are very healthy.

Please send questions, comments, suggestions, ideas and requests to:   My text message account at (214) 995-6702.

Wishing you, “Many Happy Returns.”

Charlotte  Hudgin, The Armchair Investor,                                              

www.ArmchairInvestor.com   (214)995-6702   

2023 ACI NEWSLETTER sent via WEBFLOW