June 29, 2009
The indices rose a little today. We're still in the last two days of the
quarter, so that might have some impact upon what's happening. Wednesday
will mark the beginning of a new quarter.
Composite ended the day up
to 1,844.06, the Dow
close at 8,529.38, and the S&P 500 tacked oned 8.33
to end the day at 927.23
a barrel, while gold
Apparently, the recovery is back on. the VIX
to 25.35, which marks another "new" low.
In the meantime, the news is lugubrious, ominous, and
that's good news for the stock market (although the VIX isn't showing much
concern). And here are gloomy stories calculated to cast fear into the
marrow of the optimistic investor.
Why the Golden Cross May Not Be Golden
Report: Does Golden Cross Mean Stormy Skies Ahead?
:Golden Cross" refers to an intersection in which
the 50-day moving average rises up across the 200-day moving average. This
happened last Tuesday, June 23rd. The only problem is that the 200-day
moving average is still declining, so it's not clear that this
"Golden Cross" points to a new bull market, as opposed to a bear
market rally followed by further downside.
My normally optimistic investment advisory service
warns that the S&P 500 may forming a "head-and-shoulders"
pattern typical of market tops.