Market Direction Model - Model switches to BUY on June 25, 2026

Published:

25 Jun 2026 09:00 ET

MDM will resume its BUY signal.

Yesterday, the Market Direction Model switched from **Buy to Cash** near the close.

This move was driven by a rising number of distribution days and increasing signs of institutional selling pressure. The NASDAQ Composite had just violated its 50-dma on June 24 as well. However, we made the change with full awareness that Micron (MU) would report earnings shortly after the bell.

It was a deliberate risk-management decision. We recognized that:
- A disappointing MU report would likely trigger further selling, reinforcing the distribution signals and validating our shift to Cash.
- A strong (or monster) beat from MU could spark a sharp rebound and potentially reset the short-term trend.

The model preferred to step aside into Cash rather than remain exposed into this high-impact event while the underlying technicals were deteriorating.

That said, the MU (Micron) earnings report was powerful enough to push the model back into a buy signal at today's open. Also, today's GDP came in at 2.1% vs est 1.6% and core PCE came in at 3.4% vs est 3.4% YoY and 0.3% vs est 0.3% MoM.

Suggested ETFs (Note: Many members buy the standard ETFs or their preferred ETFs. This list serves as a guide as to which ETFs we think may outperform, but the key point is to be on the right side of the market regardless of which ETF or ETFs one chooses.)

1-times

SPY (S&P 500)
QQQ (NASDAQ-100)

2-times

SSO (S&P 500)
QLD (NASDAQ-100)

3-times

UPRO (S&P 500)
TQQQ (NASDAQ-100)
TECL (Direxion Trust Technology)

NOTE: This is a suggested list. Investors may wish to become acquainted with the full range of available ETFs, and should make an effort to understand how these ETFs are created and what their components are, as well as being aware of the downside risks involved, especially with leveraged ETFs. Certain ETFs may be more appropriate depending on one's risk tolerance levels. Typing in keyword 'ETF' into the FAQ keyword search bar or going here https://www.virtueofselfishinvesting.com/faqs/search?p=1&q=etf and visiting this site https://etfdb.com/ can be instructive.

This information is provided by MoKa Investors, LLC DBA Virtue of Selfish Investing (VoSI) is issued solely for informational purposes and does not constitute an offer to sell or a solicitation of an offer to buy securities. Information contained herein is based on sources which we believe to be reliable but is not guaranteed by us as being accurate and does not purport to be a complete statement or summary of available data. VoSI reports are intended to alert VoSI members to technical developments in certain securities that may or may not be actionable, only, and are not intended as recommendations. Past performance is not a guarantee, nor is it necessarily indicative, of future results. Opinions expressed herein are statements of our judgment as of the publication date and are subject to change without notice. Entities including but not limited to VoSI, its members, officers, directors, employees, customers, agents, and affiliates may have a position, long or short, in the securities referred to herein, and/or other related securities, and may increase or decrease such position or take a contra position. Additional information is available upon written request. This publication is for clients of Virtue of Selfish Investing. Reproduction without written permission is strictly prohibited and will be prosecuted to the full extent of the law. ©2026 MoKa Investors, LLC DBA Virtue of Selfish Investing. All rights reserved.