The utes print a death cross with the 50-day MA stabbing down through the 200-day MA. If the death cross remains in play, it forecasts worse times ahead. Typically, after a stock or index creates a death cross it will actually bounce. It takes many weeks for a ticker to roll over so once the death cross occurs, it is time for a relief rally.
As price rallies, that is the judgement going forward depending on if it rolls over to the downside after the relief rally remaining in the death cross, or, if it can negate the death cross and save the day with a golden cross.
It is a very bad omen for utilities to lead the stock market lower. It typically means the pullback in the stock market will not be a run of the mill selloff instead it will be a significant double-digit drop perhaps even a crash. Keep a hairy eyeball on the utilities going forward. Beady Eye. The more you have, the more you can lose. 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.
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