I think it helps to think of it as buying and selling pressure (though of course, only Pete knows the underlying). The deeper the cross, the stronger the indicator. As Patrick mentioned, despite a cross, wait for confirmation always. For example, if the market is flat despite a bearish cross… that means that the bears have exerted more force than the bulls, but have been unable to achieve any results. As a result, the next bullish cross will likely have a strong impact on SPY.
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