On Tuesday, US shares have reached an important phase. – Marketwatch/Iltockhoto
The S&P 500 launches from 2025. The second half.
For the first time in more than two years, the reference index collected the Golden Cross on Tuesday. It was just the last phase of the recovery that has already earned a place in the market record books.
Like his brother, brother, Death Cross, the Golden Cross is a popular indicator that technical analysts use as a pulse meter. This is caused by a 50 -day slide average crossing over 200 days.
According to Dow Jones Market, S&P 500 SPX has been available since 2023. February 2 Had not seen the Golden Cross since 2023. February 2 Since then, the index has increased by more than 48%, Facttset data showed.
Of course, Tuesday’s Golden Cross is not the first bull technical signal that came from when the US stock started its journey from April “liberation day”. At the end of April, a rare Zweig width traction appeared, just as the rebound began to collect steam. Zweig width blowing is well expected that the further stock market profit will return to at least 1982.
Friday S&P 500 since February Activated his first record height by eliminating what the Dow Jones Market Data described as the fastest return of the index to a record area of 15% or more.
“It’s definitely a healthy market sign,” said Craig Johnson, Chief Market Technician of Piper Sandler, about Tuesday’s Golden Cross. “Do it along with increasing participation and widespread, and we try to make a strong second half of the year.”
According to Dow Jones, history shows that the Golden Crosses have reliably increased further profits. After the Golden Cross, the S&P 500 was more than 71%more than 71%after one year, with an average one -year return more than 10%on the basis of data reached in 1928 compared to 1928, compared to an average of 12 months index return per 12 months from 1928. Was about 8%.
– Dow Jones market data
The returns after the last 20 “Golden Crosses” were even stronger: on average, in this sample one year advance increases to 13%and the achievement percentage is 85%.
– Dow Jones market data
Unlike the previous Golden Cross, the latest arrow is only Vanis to close Monday’s record. However, this should not change much what this means for results in next year, said Mark Arbeter, President of the Arbeter Investments.
“The Golden Crosses were great signals that allow you to get the stock market for a long time,” the Arrester said in a telephone interview on Tuesday. He also pointed out that the Bullish Golden Crosses were much more reliable than the bears’ death crosses, which include a 50 -day sliding average submerged below 200 days. The latest S&P 500 Death Cross arrived in mid -April, after the worst sale is gone.
Other noticeable Golden Crosses have been using the stock market lately. Nasdaq Composite Composite on Monday strengthened one while Ai Darling Nvidia Corp. The NVDA shares saw the Golden Cross on Friday, Dow Jones showed.
Piper Sandler Johnson also pointed out that he recently began to choose small and medium -tier stocks, which helped the rally slightly extend another sign that the reserves develop in a healthy direction. Johnson said he hopes the S&P 500 would end in 2025. At about 6,600.
Of course, there have also been some signs that stocks may be related to rejection. Marketwatch player Mark Hulbert pointed out that the Gold-Plapa price ratio, short-term marketing of the market, displayed with spectacular results, has just become a bear.
On Tuesday, US stocks were mixed and the S&P 500 finished slightly smaller when recorded record record highs were recorded. The Nasdaq composite also ended in red, while the Dow Jones industry average DJIA and Russell 2000 Rut both advanced.
