|Nifty - End of Day - 25 May 2012|
Continuing on the last post on this subject, lets do a long term study from 2008.
We were watching the 34 EMA and 200 DMA cross bearishly last week.
We also discussed the more famous 50 & 200 DMA* which have not yet crossed.
Golden Cross (we use the 200 DMA and 50 EMA - see link below)
From the Chart:
A - The 2008 Fall : after a bearish cross.
B - The 2009 - 2010 Bull run : after a bullish cross
C - The 2011 Fall : We had a Bearish Cross
D - The 2012 Spike : A Bullish Cross
'D' as you can see, has produced very little for the Long Term Bull.
Notice that we had the 5 EMA/13SMA cross on the EOM as validation (click).
This EOM cross was valid above 5199 for May'12 as studied earlier this month (click).
Helped us avoid a Bull trap.
The effect of 'E' is what one wants to see - we shall watch that one..
Revision of the reads on MA crossovers (studied last at 'D' )... for the weekend.