Posted on 08/12/2015 1:00:46 PM PDT by EBH
A death cross is said to have occurred when the 50-day simple moving average, which many use to track the short-term trend, crosses below the 200-day moving average, which is widely used to gauge the health of the longer-term trend. For the Dow industrials, it marked the first time the 50-day moving average, which ended Tuesday at 17,806.99, was below the 200-day moving average, at 17,813.42, since Dec. 30, 2011, according to FactSet.
Many technicians see the death cross as marking the spot that a shorter-term pullback morphs into a longer-term downtrend.
The Dow followed Tuesday’s death cross by falling 1.4% in morning trade Wednesday, putting it on track to suffer its ninth loss in 10 sessions. It has lost 6.3% since its record close of 18,312.39 on May 19.
Some technicians argue that death crosses actually signal buying opportunities during bull markets, since some previous ones have appeared right around market bottoms. Others say it’s not a true death cross unless the 200-day moving average is declining when the 50-day moving average crosses below it.
(Excerpt) Read more at news.yahoo.com ...
And sure enough the Dow was down .20 today.
I bought NUGT yesterday because I’ve been following the dollars decline and Dennis Gartman (whom I rarely follow) gave the green light for gold. I got a 19% pop today. I wished I’d bought more.
No matter what happens to the economy, even an international depression, do not expect the DOW to do much of anything, because it has been very obvious since Obama got into officer that the FED is actively manipulating the stock indexes.
It is actually relatively easy to do this, if you have several billion dollars that you can put into or remove from the market without anyone knowing.
This being said, even if things go catastrophic overseas, don’t expect more than a half-days worth of glitch on the US indexes.
There probably is something to this. Yawn...
Ultimately things like this remind me of something akin to the following.
- - -
So what we do, is we look at the previous day’s close.
If there’s a three in that number, it can be problematic.
What causes it to be of more significance is if there has been a leap year in the current or last three years.
If this takes place on a Monday or the four days that follow, we consider it a triple threat.
Then, if the Moon is visible at all that night, watch out...
Something is bound to happen.
Be prepared. Have at least three cans of Cambel’s chicken noodle soup on hand at all times.
I won’t. I eat it. LOL
Hey, if it hasn’t killed me by now...
Now we get the crazy ups and downs until the market can figure out where it wants to go.
Find a good stock. When it goes up, sell it. If it doesn’t go up, don’t buy it. (i think will rodgers)
LOL, that was my problem! Darn, if I’d only have known.
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