The Dow Jones Industrial Average showed a technical signal to buy on Tuesday, otherwise known as the forex golden cross indicator, which occurs when the 50-day moving average moves above the 200-day moving average, suggesting further growth of the index, strengthening its uptrend, writes Business Insider.

What indicator shows the golden cross? The golden cross pattern is the intersection of short-term and long-term moving averages from bottom to top. A moving average is a line on a chart displaying the average price of an asset over an n-period of time. Read more about Moving Average in our article 5 Key Indicators for Technical Analysis.

Usually a 50-day MA is used as a short-term average and a 200-day MA as a long-term average. 

This technical indicator can help securities traders by signaling a strengthening uptrend, and likely a continued rally with rising stock prices. 

Earlier, we reported that China asked banks for help to stabilize the Chinese bond market.