UPS United Parcel Service Weekly Chart; 20/50-Week MA Cross; Cyclical Bear Market

The stock market is in a cyclical bear market. That is already evidenced by the NYA losing the 40-week MA and the SPX losing the 12-month MA (the cliff). In addition, the S&P 500 fell more than -20% off its 2941 top, into a bear market, but barely, and only for one day. The -20% metric is a simple gauge for a bear market. Use the NYA 40-week and SPX 12-month as a better indicator.

In addition, the slope of the 150-day MA indicates a cyclical bull versus cyclical bear and the 150 has rolled over sloping lower thus, another indicator verifying the cyclical bear market.

And now for another. Keystone's UPS 20/50-Week MA Cross Indicator just flipped into a cyclical bear market. The UPS 20-week MA stabs down through the 50-week MA. When shipping giant United Parcel stumbles, it tells you that economic activity is not that robust.

Notice in the chart above, however, the bulls have managed to reverse the negativity two prior times over the last couple years. Is the third time the charm for the bears? The UPS man soils himself; fortunately, his pants are already brown.

Tallying the Cyclical Bull Versus Bear Indicators:
NYA 40-Week MA Cross; Cyclical Bear
SPX 12-Month MA Cross; Cyclical Bear
SPX 150-Day MA Slope; Cyclical Bear
UPS 20/50-Week MA Cross; Cyclical Bear

The stock market (SPX; S&P 500) is in a cyclical bear market pattern and remains in a cyclical bear for the months and years ahead unless one of these four parameters turn back into cyclical bull market territory. Only then, will you have an indication that an ongoing relief rally has legs to keep on going and eventually tease new all-time highs. If stocks cannot regain any of the above four parameters, it is doom and gloom ahead, and it will not be surprising to see the SPX at the 1200 to 2000 area say in a year or so from now. 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.