The S&P 500 just sent what most traders view as a bullish signal, what is it you ask? A golden cross, which is often seen as a bullish indicator signaling that a significant move higher could follow.
So, precisely what is the golden cross. A golden cross is when the 50-day Simple Moving Average (SMA) crosses above the longer-term 200-day SMA.
When a short-term simple moving average crosses over a long-term one, it's often a signal that bullish momentum is ramping for the stock. Because long-term simple moving averages take a lot more time to influence, traders can use this to calculate a stock's relative strength. The higher the time period used, the stronger and longer-lasting the breakout tends to be.
All three major indexes will end the week in positive territory with the aforementioned S&P 500 posting a +1% gain for the week. The DOW is looking to squeak out positive week standing at roughly +.4%, and the NASDAQ is by far the standout of the week with a gain +3% and a record high of 10,578.10.
The US dollar and crude oil will bot end the week in negative territory with weekly losses of -.6% and -.2%, respectively.
On the flip side of the coin, gold and Bitcoin will both post weekly gains of +.7% and +1%.
Key Levels To Watch Next Week:
- S&P 500 (CME:SP500): 2,999.74
- Dow (INDEX:DJI): 24,971.03
- NASDAQ (NASDAQ:COMP): 9,663.61
- U.S. Dollar (ICE:DX): 97.73
- Gold (NYMEX:GC.Q20): 1,821.20
- Crude Oil (NYMEX:CL.Q20): 40.77
- Bitcoin (BITCOIN:BITSTAMPUSD): 9,798.76