The Dreaded Death Cross Formation Just Hit Stocks

The next 6-7 months are going to to wild in so many ways.-Lou

From: ZeroHedge

The Dreaded Death Cross Formation Just Hit Stocks

Smart investors have noted that the S&P 500 just staged a very dangerous looking move.

That move was when S&P 500’s 50-week moving average broke below its 100-week moving average. You can see this in the green circle below.

This move is called a “Death Cross” and for good reason. The last time it happened was in 2008, right before the entire market CRASHED.

The time before that was right before the Tech Bubble burst, crashing stocks.

In short, going back over 16 years, this Death Cross formation has only hit TWICE before. Both times were when major bubbles burst and stocks Crashed.

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