A stock scan performed after the close on Thursday for “the cross” found two stocks that might be instructive:
Fairfax Financial Holdings (FFH) FFH is the insurance (property & casualty) industry. Forbes wrote an interesting article about their CEO, The Man Who Beat The Shorts.
Daily Chart with InVivo Swing Trading Tools
Daily Chart with 50- and 200-day Moving Average
The Boston Beer Company (SAM) SAM is in the alcoholic beverage industry. Seems like people are cutting back on the higher end, micro brew drinking. The company’s latest earnings announcement was well-received by investors.
The thesis goes something like this: the up or “golden” cross (50-day MA moves above 200-day MA) is supposed to be bullish while the down or “death” cross (50-day MA moves below 200-day MA) portends to weakness.
