The S&P 500 formed a bullish technical indicator on Friday, raising hopes that thꦏe index’s January rally is more than a blip.

The S&P 500’s 50-day moving average crossed above its 200-day moving average on Feb. 3, forming what is 𝓡known as a golden cross chart pattern.

A 澳洲幸运5官方开奖结果体彩网:golden cross is a chart pattern that occurs when a short-term 澳洲幸运5官方开奖结果体彩网:moving average (MA) crosses above a long-term one, and is a bullish breakout pattern. As long-term indicators carry more weight, the golden cross indicates a 澳洲幸运5官方开奖结果体彩网:bull market could be on the horizon. That interpretation is reinforced by high trading volumes. The most widely use🐈d durations for the short-term and long-term MAs are the 50-day and 200-day MAs, respectively.

Golden cross formations using the 50-day and 200-day MAs aren’t seen frequently. The last time the S&P 500 formed a golden cross was in July 2020. The index went on to notch gains of over 50%, rising from a close of 3,185 on July 10, 2020, to nearly 4,800 in January 2022. That is why the formation of a go🃏lden cross in the S&P 500 can be such⛄ a significant development.

The formation could signal the beginning of a new uptrend or bull market. When a short-term moving average rises above a long-term one, it indicates 澳洲幸运5官方开奖结果体彩网:market momentum is beginning to accelerate tꦍo the upside, setting the stage for a sustained rise in prices.

The golden cross in the S&P 500 comes less than two months after a similar crossover occurred in the 澳洲幸运5官方开奖结果体彩网:Dow Jones Industrial Avღerage (DJIA) (see chart below).