Golden cross and death cross

Definition

A golden cross is when a shorter moving average, usually the 50-day, crosses above a longer one, usually the 200-day. A death cross is when it crosses below.

The story

Both averages are built from past prices, so a cross always lags: it confirms a move that has already happened rather than predicting one. The dramatic names help explain why they make headlines.

Why you'll see it

Financial media often report golden and death crosses on major indexes like the S&P 500.

Connects to

We explain why it moves markets. What you do with it is your call. Commentary and education only. Not financial advice. All terms