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What is the Death Cross pattern and how to make use of it while trading?

Negative convergence may lead to severe selling pressure and the price may stay weak for a month to a year.

Avoid falling prey to mis-selling of insurance
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Finding a bottom is highly discarded in a Death Cross formation

Avdhut Bagkar Mumbai
The "Death Cross" pattern is one of the most effective technical instruments in identifying a major trend reversal in any stock/index. Simply put, it explains how the negative convergence of moving averages impacts the upward trend and pushes prices into a bearish phase.

Technically speaking, the Death Cross is the negative crossover of short-term moving average to a long-term moving average. Broadly, the 50-day moving average (DMA) and 200-DMA are taken into account to identify a Death Cross pattern. That said, other moving averages may also show a weakness when they witness similar formation. Negative convergence can lead to severe