Stocks Close Below 200-Day MA

There was no relief to be found anywhere today. ISM manufacturing data disappointed in addition to a disappointing jobs report. Europe fared no better:

The Infamous Death Cross Rears Its Ugly Head

Ironically, the stock market indicators I use have just turned bullish again. If tomorrow's stocks take out today's highs, the new bull market will be confirmed. The death cross, however, consists of the crossing of the 50-day (light blue on this chart) and 200-day (pink on this chart) simple moving averages. It is almost certain to occur unless the stock market moves about 800 points higher tomorrow. It's going to be interesting!

Stocks Trading Below 200-Day Moving Average

Stocks Stop, Find Support at 200-Day Moving Average

The 200-day moving average is the pink line rising from left to right. Bulls have drawn a line in the sand at that level.

Stocks Bounce Off 200-Day Moving Average Again

This is the second time in less than 2 weeks that we have bounced at this indicator. The moving average continues to rise, making each bounce ever more risky and difficult. Eventually, negative news will send us plummeting through the 200-day. I wouldn't be surprised if it occurs in the next few weeks.

S&P Bounces Off 200-Day Moving Average

by Barry Ritholz at The Big Picture blog:


After gyrating much of the day, the S&P500 bounced off the the 200-day moving average (which also coincided with the December 2010 close)  just like a page out of a technical analysis textbook.   The bounce helped rescue Apple from some very ugly price action, which pierced its 200-day moving average for the first time since September 2008, x/ the flash crash, trading down to $318.33 before recouping most of its loss with a strong close...
But the current environment is much more difficult to navigate,  where a flock of macro swans — including European Debt, China hard landing, the QE2 endgame, Japan supply chain issues, global economic slowdown,  natural disasters, and commodity price inflation –  are batting the market around like a piñata.  This, therefore,  warrants more caution and greater risk mitigation.