However, a handful of others sought to capitalize on these jitters, thinking a recession would be averted. When the 50-day MA crosses the 200-day MA from below it is called the “golden cross.” This indicates that momentum has shifted to the upside, creating bullish sentiment. There are, broadly, two prevailing methods of stock-picking used by […]

Large speculators are known to be trend followers which is the opposite of commercials we discussed earlier and are represented by the green line on the COT report. In the early 2000s, the dot-com bubble burst, characterized by a euphoric sentiment surrounding internet-based companies. Investors were overly optimistic and overestimated the potential value of these […]