Well not really. This is a different kinda of "cross" mind you. But market players follow it with a near religious fervor and commitment nonetheless.
GOLDEN CROSS = when the 50 day moving average cross above the 200 day moving average (signalling a recent, strong rally that may be turning the longer-term negative trend the market had been experiencing).
DEATH CROSS = when the 50 day moving average has crossed below the 200 day moving average.
The 50 day moving average dipped below the 200 day on July 1st (signalling the death cross, a serious negative technical indicator for traders who buy/sell and or simply believe in resistance barriers, etc. Even if you don't, it still plays into market psychology and momentum - which is a significant force in a range bound, volatile market).
200 day moving average = about 1,113 on the S&P presently. Logically, the market must first break above the 200 day on its own in order for the 50 day to break above it and thus offer the "golden gross" opportunity. Macro- news continues to be relatively dismal; however, corporate profits are providing a fun story for bullish traders to use to inspire the market and make some quick profits of their own.
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment