A surprising quantity of digital ink has been spilled over the GOLDEN CROSS, which is the media’s favourite elementary faculty technical indicator. With it, they present that the 50-day transferring common has crossed above the 200-day transferring common, and by golly, that has at all times meant, 100% of the time, {that a} new bull market has began. I’ve seen this announcement numerous occasions this week.

Effectively, I’d not less than prefer to level out that the easy transferring common did that. Nonetheless, I want to observe the exponential transferring averages, thanks very a lot, and no such crossover has occurred, though it’s terrifyingly shut.

I’m not likely hung up on indicators anyway; you in all probability have found out since I seek advice from them not often. However I not less than wish to lodge my criticism in opposition to the common chatter that, by gum, the golden cross is an indication from God almighty that the bulls will get yet one more extension on their ceaseless government-funded bull market that began in early 2009.