S&P 500 Crosses 20-Day Moving Average

While I don’t use moving averages , some people do consider them to be very important. The S&P 500 recently crossed the 20-day moving average. The index is now at 902.30, while the 20-day average is at 898.89. Since the low in March, the 20-day moving average has acted as a major area of support for price action. The 200-day moving average is also nearby at about 932.48. The S&P 500 has not crossed the 200-day moving average since December of 2007. It is still about 3% short of the 200-day moving average at this time.  Crossing the 200-day moving average would be considered a major event. Stock indexes are considered a leading indicator of economic recovery. Analysts are hoping that this rally is a sign of better things to come for the US economy.