Microchip Technology Nears Potential Death Cross

Understanding the Death Cross and Its Implications

In the world of stock trading, a Death Cross is a technical analysis term that describes a situation where a short-term moving average (like the 50-day simple moving average, or SMA) crosses below a long-term moving average (such as the 200-day SMA). This event is often seen as a bearish indicator, suggesting that the stock may be entering a period of prolonged decline.