Death Cross Dead Ahead

The S&P 500 is rapidly closing in on a “death cross.” This is when the 50-day moving average drops below the 200-day moving average. Historically, this has been a bad omen for stocks.

I caution long-term investors not to take these signals too seriously, but I’ll note that many traders consider this to be very important.

Posted by Eddy Elfenbein on July 17th, 2012 at 12:59 pm

The information in this blog post represents my own opinions and does not contain a recommendation for any particular security or investment. I or my affiliates may hold positions or other interests in securities mentioned in the Blog, please see my Disclaimer page for my full disclaimer.