SIGNAL — LONG ON OPEN 3/29/21 — ELEVEN TRADING DAYS
See the CONTEXT FOR BUYS AND SELLS outlined near the bottom of this thread.
Update 4/13/21 — Selected Stocks
Since the buy signal on the market open eleven trading days ago, three bellwether stocks in the list have made significant move up.
TSLA is up 23.23%, NVDA is up 21.1%, ROKU is up 26.6%. See the charts below.
The all-important NYSI is rising so there should be more to come in the list in general.
Update 4/8/21 — — Selected Stocks:
Two charging station stocks have surged in the past eight days with the Nifty-50 buy signal. They are sure bets for both swing trading and long-term investments because electric vehicles have to recharge as often as combustion cars have had to gas up.
Since the market’s open March 29th, BLNK (Blink Charging Co.) is up 30% and CHPT (Chargepoint Holdings Inc.) is up 35% (see the charts below).
The charts above and below are set up to show the gain for each $10K traded in the white flags at the bottom of right axis. The purple marking on the charts are the days there were 40 or more of the Nifty-50 on sells.
Other stocks of interest running with the buy signal:
In the electric vehicle/alternative energy sector include TSLA, up 10% on Nifty-50 signal eight days ago, and NIO up 9.4%.
What a difference a week makes. From 49 stocks on sells and 43 oversold last Thursday to 48 on buys today with 16 overbought.
In addition the all-important NYSI turned positive today which suggests there is more to come, particularly in the overbought/oversold column.
Today the market bounced across the board. In the list 28 stocks gave individual buy signals. Overall 29 stocks are now on buy signal with zero overbought and 16 still oversold.
This is the Nifty-50 buy signal for the open Monday, 3/29/21.
Yesterday there were 48 stocks on sells. Today (Thursday) there were 49 with 43 of the stocks oversold. This market is about to bounce.
Time to sit up and take notice…
THE CONTEXT FOR THE BUY AND SELL SIGNALS:
I created and posted about this strategy in November of 2015 on another forum.
Nothing has changed since then.
And I first posted this indicator on Medium in this link:
The following is lifted from that link:
Again and again, my nifty-50 stock list moves from oversold to overbought and back again to oversold like an ever spinning wheel within the market’s spinning wheel…
And each time there are 40 or more of the 50 stocks on sells, it’s time to sit up and take notice since that is the number that most often signals either the bottom or the beginning of a bottom on each down swing.
Usually it just takes one day of 40 sells, sometimes two days, to set up the bottom of a swing. Should be noted if it goes more than two days that’s is a warning that something bigger may be in the offing (last time that happened was the start of the Covid-19 bear plunge this year).
This is what market timing and swing trading are all about.
The results can be quite remarkable, in leveraged ETFs like TQQQ, TNA, leveraged sector ETFs like SOXL, FNGU, and, of course, hot individual stocks.