Death Cross

A Death Cross is a technical analysis indicator used in financial markets to signal a potential bearish trend. It occurs when a security's short-term moving average (commonly the 50-day moving average) crosses below its long-term moving average (commonly the 200-day moving average). This crossover is viewed by traders and analysts as a signal that the asset's price momentum is declining, suggesting that a downtrend may continue. The Death Cross is contrasted with the "Golden Cross," which occurs when the short-term moving average crosses above the long-term moving average, indicating potential bullish momentum. The Death Cross is often used in conjunction with other indicators to assess market conditions and inform trading strategies.