Case Study: The Death Cross chart pattern
The Death Cross is a bearish breakdown chart pattern. This occurs when a short time-period moving average crosses a longer time-period moving average from above. Here we present charts where the 50 day moving average (Red) is crossing the 200 day moving average (Blue) from above, a common combo in technical analysis. While this is generally a bearish stock signal, there will be instances where the signal is wrong. Hopefully, this case study will help you improve your odds of avoiding the losers and buying the winners!