Pages

Monday, May 27, 2019

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


The cyclical stock market signals remain mixed. Ditto the stock market with the SPX chopping sideways through 2800-2950 since March.

The UPS 20/50-week MA cross is one of Keystone's top indicators for distinguishing a cyclical bull market from a cyclical bear. The 20-week is below the 50-week so the stock market is in a cyclical bear market pattern. The cross occurs as the year begins and that is when the Federal Reserve and other global central banks such as the PBOC, ECB and BOJ colluded to pump stock markets higher and protect the wealthy class. The party has yet to create the positive 20/50 cross, however, so the corrupt central bankers may want to ask for their Keynesian stimulus back.


UPS and FDX are the shipping giants and important bellwethers for the global economy. If UPS is slip-slidin' away, as Paul Simon will sing, the stock market and US economy will be dragged south as well. Business contracts, parts, supplies, everything that makes an economy operate, the endless Amazon packages in your neighborhood, all are delivered mainly via UPS and FDX.

Summing up Keystone's fave cyclical (weeks and months; intermediate term) stock market signals;
The SPX 150-day MA is sloping negative maintaining an ongoing 6-month cyclical bear market.
The SPX is above its important 12-month MA at 2785 signaling a cyclical bull market.
The SPX dropped only 150 points from the 2950-ish top recently a -5% pullback nowhere near a -10% correction level or -20% bear market.
The NYA remains above its 40-week MA signaling a cyclical bull market.
The UPS 20/50-week MA cross is negative signaling a cyclical bear market.

So the market signals are mixed. All of these signals will eventually line out in the same direction verifying the path ahead. During recent years, due to the non-stop central banker market intervention, the signals have all been in the bull camp. The stock market wagon is starting to wobble. The NYA is teetering so pay attention to that 40-week MA since it will tell you the path ahead for the intermediate term. Pay attention to the SPX 150-day MA slope as previously described. Watch the SP
X 12-month MA at 2785 since the stock market is toast if it fails. Watch the UPS 20/50-week MA cross as described above. 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.

No comments:

Post a Comment

Note: Only a member of this blog may post a comment.