S&P 500 Near ‘Golden Cross’ After 20% Rally: Technical Analysis
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The Standard & Poor’s 500 Index is approaching the formation of a “golden cross” for the first time since 2010, historically a signal that more gains are likely to follow, Birinyi Associates Inc. said.
The benchmark index for U.S. equities has jumped 20 percent from its 2011 low in October as optimism grew that the world’s largest economy will withstand Europe’s debt crisis. The rally pushed its 50-day moving average to 0.2 percent away from exceeding the average price for the prior 200 days.