LOL Death Cross

Posted by admin
on August 3rd, 2010

Much of the financial press promoted the supposed “Death Cross” that occurred on July 8, 2010. A “Death Cross” is when the 50-day moving average crosses below the 200-day moving average. If you bought into this media circus and either sold short or liquidated your longs, congratulations, you are now approximately 100 S&P handles underwater.

This should serve as a reminder to ignore the media noise and hype in the market. Most of it is misleading and can be very costly.

Below are some of the articles that were released leading up to and around July 8.

Market’s Swoon Prompts Fears Of the Dreaded ‘Death Cross’ (CNBC)

Halftime Pt.1: S&P in Grips Of Death Cross? (Fast Money)

Here Comes the Death Cross (Seeking Alpha)

The dreaded Death Cross appears (MSN Money)

Is the Death Cross Another Sign We’re on the Verge of Recession? (Seeking Alpha)