Friday, June 1, 2012

The Mayan Apocalypse Cross

The S&P 500 is back below the 200 day moving average today, which is significant in some circles.  The good news for these 50/200 day moving average watchers though is that we haven't yet experienced the dreaded "death cross" when the 50 dma moves below the 200 dma.

The death cross (perhaps only exceeded by the Hindenburg Omen) has got to be one of the most ominously named trading patterns, but is there room for one more?  What would happen if the 50 month moving average were to cross below the 200 month moving average?  Given that the two averages seem to be converging just in time for December 2012, I propose the term: Mayan Cross.

No comments:

Post a Comment

For compliance reasons, I don't post comments to the site, but I do like hearing from readers and am happy to answer any questions. Feel free to use the comment box to get in touch. Please leave an email address in your comment so that I can write back, or email me directly at