There are so many traders and investors that remain bullish even when the stock market is under distribution. Here are 5 things I need to see to become bullish again and stop shorting strength and start trading on the long side.
- $QQQ needs to close over the 200 day as my first sign of bull power and the potential for a return to all-time highs.
- All stock indexes need to begin to trade above the 5 day EMA consistently.
- The market needs the shorter term moving averages to begin to cross back over the longer term moving averages. Like the 21 day EMA over the 50 day SMA etc.
- The up days need to be on higher volume than the down days.
- The MACD bullish crossover needs to hold.
If all these signals are met, I will become bullish again. Until then, the bears have control.