Stocks; Share-Price prediction and the Death Cross
A death cross occurs when the 50-day moving average (DMA), which many chart watchers use as a short-term trend tracker,
crosses below the 200-DMA, which is widely viewed as the dividing line between longer-term uptrends and downtrends.
The idea is the cross marks the spot when a shorter-term selloff
transitions to
a longer-term downtrend.
transitions to
a longer-term downtrend.
Crosses aren’t necessarily good market-timing indicators, however, as they are well telegraphed, but they can help put a selloff in historical perspective.
Trend traders attempt to isolate and extract profit from trends.
4 certain trend indicators have stood the test of time and remain popular among trend traders.
1. Moving Averages
2.
2.
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