2024-03-21H: Armchair Investor Newsletter. Nasdaq hits all-time high ! ! !

2024-03-21H: Armchair Investor Newsletter.  Nasdaq hits all-timehigh ! ! !

Here is what I meant by yesterday’s “all green day”comment.

All of the major indexes and their volumes rose on Wednesday. That is quite positive!  But that positive move does not answer the question today, “What happened on Thursday?”

ON THURSDAY:

·       All three major indexes rose moderately (0.2% to 0.7%)

·       But only the NYSE had higher volume with that rise so onlythe DJIA and S&P500 had accumulation days.

ARMCHAIR INVESTOR CONCLUSION: The market rose modestly on Thursday, signaling it liked the Federal Reserve’s Thursday comments on the market.

Bottom line: Up is UP and this was a nice rising day withall three major indexes contributing to the breath of Thursday’s Uptrend.

How did the Exchange Traded Funds perform on Thursday? Very nicely, thank you!

Did you notice that the QQQ which rose 1.2% matched the QLD with a 2.3% rise?  What happened with the TQQQ? (See table below.)

YES!, TheTQQQ rise was a little light Thursday. It followed close to the 3X historical relationship:  The QQQ rose 0.5%, the QLDrose 0.9%, and the triple, the TQQQ rose 1.3%. Yes the TQQQ was a little low, but it did earn about 40% mor than the double QQQ.

As long as the TQQQ triple continues to out-performs the double QLD and we are in an Uptrend, I am richer holding the Triple QQQ.

Note:The TQQQ has risen over 100% from October 31, 2023 low to Thursday (3/21/2024)!  

Please note,…. Based on the several weeks of the TQQQ playing around $60,  I am watching for a possible drop.  I have no inside information that a drop is coming.  But a density of distribution days (down days on higher volume) might get me to cashout and wait on the sidelines.

Note:  I have held a position in the TQQQ over the last 5 months.  I am not crying!  Not even complaining – this volatility is what, eventually, pays off big-time if you can just see when to get in and out! And that is what we will continue to discuss in this newsletter.

REMEMBER:  I do not know how to get in at the bottoms orout at the tops…. I just get closer than most!

If you step back and look at the above TQQQ chart, you may not be too concerned.  The TQQQ will continue to be volatile…..that’s what a triple ETF does.

·       NOTHING BEATS HOLDING THE TQQQ in an Uptrend.

·       NOTHING BEATS HOLDING THE SQQQ in a Downtrend.

>>> I focus on the TQQQ because you can typically make2 ½ to 3 times what the QQQ earns.

NOTE:  I am very pleased with the dependable 1-2-3 relationship the 3 ETFs – the single QQQ, the double QLD and the triple TQQQ… and I am especially enjoying making those great returns on the triple QQQs!...

Note that the high within the last 20 days was hit on 3/7/2024. Look for the Green data box on the list of the last 20 days!

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MY CURRENT ACTION PLAN:  (Please refer tothe ACTION PLAN FROM March 19 newsletter)

Today’s Accumulation/Distribution table:

Sorry about the odd green boxes that show up. On the other part of this process, the greens all look alike. Please see them that way tonight!

Pink boxes above indicate ratings that have fallen over the last week.

Greenboxes above indicate ratings that have risen over the last week.

Please consider reviewing this newsletter daily: .The markets can change direction and strength quickly! Note that the percentage of As and Bs took a hit over the last 4 weeks – a drop from 60% three weeks ago to 52% one week ago, then recovered to 58% today!>>>>>  

NOTE THIS WARNING.  Holding onto a falling stock, (whether an ETF or the stock of a favorite company), is a quick way to lose your recent gains. If you play individual stocks and ETF’s, play carefully. Use the real returns (daily, weekly, monthly)

IT IS COMMON FOR STOCKS, ETFs, AND FUNDS TO FALL FASTER THAN THE RISE.

Of course, I do not sell a position that has been rising well after one or two small down days. But if you had a significant loss over several days, especially if there is an increase in market distribution days(down days on higher volume), then stepping out and waiting in cash can help you save your portfolio for future rallies and let you sleep at night.

REMEMBER:_____EVEN IF CASH IS A VALID POSITION,…in a fast rising market, you should VISIT your portfolio to verify it (or a big part ofit) is not dropping.

>>>> Stay tuned for Friday’s results!

One additional “Word to the Wise”…

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

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Wishing you big returns in your portfolio!.

I APPRECIATE YOUR CONTRIBUTIONS FOR SUPPORTING THIS NEWSLETTER.  

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>>>> I am working on getting the Aweber notices out again. I have to get our email certified first!

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I USUALLY SPEND  MORE THAN 4 HOURS FOR EACH ARMCHAIRINVESTOR NEWSLETTER:

·      RESEARCHING THE IDEAS IN THIS NEWSLETTER,

·      CALCULATING ALL THE DATA I NEED,

·      WRITING THE TEXT FOR THE NEWSLETTER AND….

·      FORMATTING THE NEWSLETTER.  

I WELCOME YOUR COMMENTS ON THE MINOR CHANGES IN TODAY’S NEWSLETTER (as described in the notes.) 

Thank you for your kind feedback  and ESPECIALLY FOR YOU WHO HAVE DECIDED TOMAKE A MONTHY CONTRIBUTION.

Charlotte Hudgin, The Armchair Investor

May your stock portfolio grow and grow and grow like this giraffe family!