UPS United Parcel Service Weekly Chart with 20 and 50 MA Cross Secular Bear Market

Here is the fourth secular signal that Keystone tracks, the cross of the 20 and 50 week MA's for UPS. Shipping is the life blood of the economy, if lots of packages are moving, biz is good, so are markets, if the packages drop off and UPS earnings and stock price falls, that is not good for the economy or markets, it signals a slowing economy. Note the 20 MA crossing above the 50 MA in summer 2009. This served as confirmation that the March 2009 bottom was real, and that the good times are rolling along with QE1. The wine flowed like water and the bulls began a long 2 1/2 year party. What a glorious path lay ahead.

But, in August 2011, the punch bowl is dry and the party ended. The 20 MA crossed under the 50 MA signaling that the broad markets have fallen into a Secular Bear Market pattern moving forward, thus, lower indexes are anticipated for the weeks and months ahead.  This information is for educational and entertainment purposes only. Do not invest based on anything you read or view here or on any links associated with this site. Consult your financial advisor before making any investment decision.