As I mentioned in my post the other day, IBD declared a follow through day but it seemed questionable to me. The next day was a sell off on higher volume and they flipped to “under pressure”. Today we finally saw a real move up on real volume. I declared it my FTD before 4PM and IBD declared it afterwards. I give way more credit to this one. Maybe it is short covering after the BOJ move, but with this volume I don’t think that accounts for enough of it. (Will Fed now halt interest rate increases with the BOJ going negative rates? Is there a bottom in oil?)
IBD: A follow-through is never a guarantee of a bottom, but the situation looks more bullish than it did just a few days ago
Naz up 2.38% on highest volume in 6 or 7 sessions and higher than average. That is what you want.
http://stockcharts.com/freecharts/gallery.html?$compq
same for S&P
http://stockcharts.com/freecharts/gallery.html?$spx
In addition we are coming of a double bottom from the August lows. Two good indicators. #3 is Facebook, big move on huge volume off earnings yesterday with a strong follow through that qualified as a break out today. (Still in the 5% buy range)
Our 1YPEG growth stocks outperformed the market as one would expect, just like we can’t be surprised when they underperform on the way down.