Category: S&P 500 Index

WARNING – S&P 500 Index chart showing a potential Death Cross may form

Bloomberg posted a interesting long term chart of the S&P500 Index. That charts shows two prior Death Crosses in the S&P500 index and potentially a new one may form.

Click on this line to visit the Bloomberg site to view that IMHO important article.

I got curious and checked out stockcharts.com. I created a long term chart of the S&P 500 Index. Added two moving averages – a 50 Day MA and also a 200 Day MA. The Death Occurs at a top when the 50 Day MA crosses “downward” over the 200 Day MA.

http://stockcharts.com/h-sc/ui?s=%24SPX&p=D&yr=5&mn=0&dy=0&id=p74212016926

Click the link above to display the charts from stockcharts.com Looking at the chart (thanks to stockcharts.com allowing us to link) I saw something very ominous. There is a Head and Shoulders formation. Note also that the 200 DayMA is no longer rising.

Click on this line to see what http://chartpatterns.com/headandshoulders.htm says about this chart pattern.

Click on this to see what http://stockcharts.com/school/doku.php?id=chart_school:chart_analysis:chart_patterns:head_and_shoulders_top_reversal says about this chart pattern.

This post is not meant as Investment Advice. Do your own Due Diligence. Seek out the advice of your own financial and investment advisors before risking any funds in the Stock or Futures markets.

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