Stock chart patterns and technical analysis (TA) explained simply. Disclaimer: This blog and all its contents are for educational and entertainment purposes only. Do not trade or invest based on any information seen on this blog. Please read Terms of Service. The K E Stone blog sites (Keybot the Quant) are blacklisted by Google, so enjoy the ad-free experience, and only use the Donate button when supporting the sites.
Monday, June 1, 2015
NYA NYSE Composite 40-Week MA Cross Signals Cyclical Bull Market but UPS 20/50-Week MA Cross Signals Cyclical Bear Market Ahead
Two of Keystone's key cyclical market indicators are in conflict. One of them is wrong. If you are more of an intermediate term trader (weeks and months), place these two charts on the top of your watch list. The NYA is above the 40-week MA signaling a cyclical bull market ahead. Keystone has described in detail the prior failures and how the central bankers collude to create the recoveries. The UPS negative 20/50-week MA cross occurs signaling a cyclical bear market ahead ending the multi-year cyclical bull.
Market bulls will cheer if the UPS 20-week MA crosses back above the 50-week MA since it signals a happy bull party continuing for weeks and months ahead. UPS price is under the 20-week MA and as long as that is the case the moving average will actually be pulled lower. Market bears will cheer if the NYA loses the 40-week MA. The central bankers have performed four stick-saves of the NYA since last October. If another failure occurs, can the central bankers muster up another stock market pump or is there pump pooped out?
Watch the above especially if you are a longer term trader. If remaining long you better rethink your thesis when the NYA loses the 40-week. The bears will be smacked in the face again if the UPS 20-week regains the 50. 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 6/8/15: The NYA is at 10957 and 40-week MA is at 10889 only 68 points away but the bulls continue to rule this market signal. UPS price is at 99.95. The 20-week MA is 98.98 and the 50-week MA is at 100.37 so the market bears remain in good shape with this indicator. One of these two will flip sides and tell you the intermediate term direction forward for the stock market.
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