We have a golden cross on the FTSE 250 with the 30 day moving average rising above the 200 day moving average. In my experience, this is a fairly good predictor of a steady but unspectacular rise across the whole UK equity market over the next 6 to 18 months. It is quite remarkable bearing in mind the continuing uncertainties with the US election, Brexit and Covid. I think the market will be supported by investors in long government bonds who will gradually realise that they are holding return free risk.
Interesting.
The golden cross is interpreted bytraders as signaling a definitive upward turn in a market. The signal is reinforced by high trading volumes.
Recent FTSE250 trading volumes have been unremarkable. I would be monitoring these to gauge the strength of this signal.
