Golden cross

A short average crossing up through a long one

In detail

A golden cross is when a shorter moving average rises through a longer one from below. It marks the point where the recent average price has overtaken the longer-term average, and it is commonly described as a sign of strengthening momentum. Because moving averages are built from past prices, the signal always arrives after the move itself.

Example

With the 25-day at $1,000 and the 75-day at $1,010, the 25-day rising to $1,020 crosses above โ€” a golden cross.

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