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Friday, October 16, 2020

NDXA150R Nasdaq 100 Percent of Stocks Above 150-Day MA Daily Chart; High-Flying Tech Stocks Highly Elevated



Traders and investors are always asking for and looking for the Holy Grail indicator for the stock market that guarantees you a risk-free winning trade. Of course no such indicator exists since there is always a chance, even if miniscule, that the trade can go the wrong way. However, after many years of reading volumes of dusty economics books in dank library basements, studying  charts by candlelight until the eyes go blurry, learning the inner workings of the finance industry and punching the calculator keys, solving endless calculations, until the fingers bled, there are a couple indicators that qualify as bet-the-farm signals.

In all the years of watching the stock market, The Keystone Speculator's SPXA150R and NDXA150R Bet-the-Farm Indicators are the closest thing that can be found to a sure thing. When either one of these indicators move above 90%, you can bet-the-farm on the short side going forward. The SPXA150R came up to 87 this month thus far and is now down to 83, which is still very elevated, however, it did not reach the coveted 90+ area.

The NDXA150R chart is shown above and the red circle highlights the uber high 94% reading. The NDX is the Nasdaq 100 representing the high-flying and blue-chip tech stocks, the hottest stocks this year, especially with the Wuhan Flu lingering in America and people staying at home. AMZN is joyful since folks buy more stuff on line. Chip companies are running higher as well as video conference applications such as ZM. NVDA is the third highest-rallying stock this year in the major stock indexes. DOCU has doubled in price. PTON cycles higher. 

When the NDXA150R prints the 94, Aunt Harriet clangs the dinner bell on the front porch proclaiming that the top is in and it is time to bet-the-farm on the short side. You can call Keystone anything, but don't call him late for dinner. The NDXA150R prints 94% on 10/12/20 (Monday) and 10/13/20 (Tuesday), corresponding to the NDX HOD's those days at 12208 and 12190, respectively; call it 12.2K for reference. NDX price is currently trading at 11975. This information is for educational and entertainment purposes only. Do not invest based on anything you read or view here. Consult your financial advisor before making any investment decision.

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