Tuesday, September 15, 2015

SPX S&P 500 30-Minute Chart 8/34 MA Cross

A key Keystone short-term market direction indicator is the 8/34 MA cross on the SPX 30-minute. You have to  love this. Price, the 8 MA and the 34 MA are all at the same level at 1952-1953. Looks like a winner will be decided today. Interestingly, Fed Chair Yellen does not announce the rate decision until Thursday afternoon but the markets appear ready to move strongly in a direction today (hourly charts have tight standard deviation bands and the CPCE put/call hints at a stock market near-term bottom at hand).

The 8 MA is under the 34 MA, by a hair, signaling bearish markets for the hours ahead, but, as explained, flip a coin for the path ahead. The 8/34 cross will tell you the winner. The S&P futures are beginning to move higher ahead of the opening bell so the bulls may create a positive 8/34 cross. This information is for educational and entertainment purposes only. Do not invest based on anything you read or view here. Consult your financial advisor before making any investment decision.

Note Added 9:33 AM EST: Stocks open and the SPX bounces 6 points to 1959. The 8 MA is 1952.60 and 34 MA is 1952.30 creating a positive 8/34 cross signaling bullish markets for the hours ahead but do not blink. The bulls are not completely in the clear yet. Stocks will rally as long as the 8 MA is above the 34 MA. It is now only a 5-cent difference with the 8 MA at 1952.27 and 34 MA at 1952.22.

Note Added 9:09 PM:  The bulls punched the bears in the face today sending the SPX up 25 points to 1978. The positive 8/34 cross remained in place from the opening bell forward lighting the way higher for stocks. The 8 MA is at 1976 and will not curl over to begin lower unless price is under 1976.

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