A key technical signal for the US stock market looks set to go risk-off in the days ahead, based on the 50-day vs. 200-day average for the S&P 500 Index. Short of a strong rally in the immediate future, the so-called death cross may be near, which some traders will view as a bearish signal for the market’s outlook. Although the signal’s history is far from perfect for market timing, it’s widely followed and so a risk-off switch will likely be seen as a new factor tipping the odds in favor of a bear-market forecast.
