Strategy Update (2024-01-18)

Despite some volatile sessions, there has been no change so far, the strategy has remained on a green signal since Monday January 8th.

Alpha Signals strategy remains on a green signal
Alpha Signals strategy remains on a green signal

Despite some quite volatile sessions the past couple of days with a gap down and bounce followed by a gap up, there's no change so far, the strategy has remained on a green signal since Monday January 8th.

With the earnings season underway and QQQ closing at an all-time high on volume well above average, I would not be surprised to see the general market going higher for another 2-3 weeks. While it's impossible to predict, looking back, strategy kept on a green signal at the beginning of 2023 and only turned red on February 22nd, after the earnings season was over. Let's see if history repeats, we will be able to find out soon.

The price action the past few days on the Semiconductor industry stocks like NVDA, AMD and RMBS is encouraging. Typically when Semi's are strong, that's a good sign for a good bull market.

While the 10 EMA is above the 21 EMA, and both are stacked trending up, chances are TQQQ price could be trailing higher along moving averages as it has been doing. As usual, I will keep monitoring and if that changes, I will be quick to adapt and take profits.