The SPDR Dow Jones Industrial Average ETF (DIA - Get Report) , and the PowerShares QQQ Trust ETF Series 1 (QQQ - Get Report) set all-time intraday highs this morning as the SPDR S&P 500 ETF Trust (SPY - Get Report) stayed below its all-time intraday high set on Wednesday, July 10.

My call is to reduce holdings by 50% on strength up to quarterly risky levels at $285.35 on Diamonds, $305.22 on Spiders and $201.51 on QQQs.

The Diamonds ETF set its all-time high this morning as the Dow Jones Industrial Average trades above 27,000 for the first time ever. The ETF has semiannual and quarterly risky levels at $272.78 and $285.35, respectively.

The Spiders ETF approached its all-time intraday high of $299.66 set on July 10 as the S&P 500 tries to stay above 3,000. The ETF is above its semiannual pivot at $294.72, with its quarterly risky level at $305.22.

The Nasdaq 100 ETF QQQ set its all-time high this morning as the Nasdaq Composite tries to stay above 8,200. The ETF is above its semiannual pivot at $188.63 with its quarterly risky level at $201.51.

The weekly charts for the three ETFs are positive with Diamonds and Spiders becoming overbought based on their weekly stochastic readings. The QQQs are not yet overbought. Today I am focusing on the daily charts.

The Daily Chart for Diamonds

Courtesy of Refinitiv XENITH

The daily chart for Diamonds shows the formation of a "golden cross" on March 20 when the 50-day simple moving average rose above the 200-day simple moving average, indicating that higher prices lie ahead. The 200-day SMA provided a magnet between May 13 and June 5, with the average at $254.31 as a buying opportunity. The close of $265.85 on June 28 was an important input to my proprietary analytics. The value level for July is $260.59. The semiannual and quarterly risky levels are $272.78 and $285.35, respectively. Still in play is its annual pivot, now a value level at $257.94.

The 2019 rally began with a "key reversal" day when the ETF traded as low as $216.97 on Dec. 26 then closed that day at $228.72 above the Dec. 24 high of $223.31.

Trading Strategy: Buy weakness to its annual and monthly value levels at $260.59 and $257.94, respectively, and reduce holdings on strength to the semiannual and quarterly risky levels at $272.78 and $285.35, respectively.

The Daily Chart for Spiders

Courtesy of Refinitiv XENITH

The daily chart for Spiders shows the formation of a "golden cross" on April 1 when the 50-day simple moving average rose above the 200-day simple moving average indicating that higher prices lie ahead. The 200-day SMA provided a buying opportunity at $277.32 on May 29. The close of $293.00 on June 28 was an important input to my proprietary analytics. The value level for July is $287.60. The semiannual pivot is $294.72 with its quarterly risky level at $305.22. Still in play is its annual pivot, now at value level $285.86.

The 2019 rally began with a "key reversal" day when the ETF traded as low as $233.76 on Dec. 26 then closed that day at $246.18 above the Dec. 24 high of $240.83.

Trading Strategy: Buy weakness to the monthly and annual value levels at $287.60 and $285.86, respectively, and reduce holdings on strength to its quarterly risky level at $305.22. Its semiannual pivot is a magnet at $294.72.

The Daily Chart for QQQs

Courtesy of Refinitiv XENITH

The daily chart for QQQs shows the formation of a "golden cross" on April 3 when the 50-day simple moving average rose above the 200-day simple moving average, indicating that higher prices lie ahead. The 200-day SMA provided a buying opportunity at $174.31 on May 31. The close of $186.74 on June 28 was an important input to my proprietary analytics. The value level for July is $181.65. The semiannual pivot is $188.63 with its quarterly risky level at $201.51. Still in play is its annual pivot, now a value level at $169.27, which held as a buying opportunity on June 3.

Trading Strategy: Buy weakness to the monthly and annual value levels at $181.65 and $169.27, respectively, and reduce holdings on strength to its quarterly risky level at $201.51. Its semiannual pivot is a magnet at $188.63.

How to use my value levels and risky levels:

Value levels and risky levels are based upon the last nine weekly, monthly, quarterly, semiannual and annual closes. The first set of levels was based upon the closes on Dec. 31. The original annual level remains in play. The weekly level changes each week. The monthly level was changed at the end of each month, the latest on June 28. The quarterly level was changed at the end of June. My theory is that nine years of volatility between closes are enough to assume that all possible bullish or bearish events for the stock are factored in. To capture share price volatility investors should buy on weakness to a value level and reduce holdings on strength to a risky level. A pivot is a value level or risky level that was violated within its time horizon. Pivots act as magnets that have a high probability of being tested again before its time horizon expires.

Disclosure: The author has no positions in any stocks mentioned and no plans to initiate any positions within the next 72 hours.