Golden cross and death cross are moving-average crossover signals using the 50-day and 200-day MAs (daily charts). When the 50 crosses above the 200, technicians call it a golden cross — bullish long-term trend signal. When the 50 crosses below the 200, it is a death cross — bearish.
Trading rules
CFI's simplest trend strategy: stay long while 50 > 200; stay short or flat while 50 < 200. Price above the 200-day MA is generally bullish context; below is bearish. The 200-day line is treated as a critical institutional benchmark.
These are slow signals — they lag price and whipsaw in choppy markets. They pair with faster systems (5/8/13 Fibonacci EMAs, ADX > 25 filter) in trading-technical-indicator.
Wiki context
Complements sitting-tight and line-of-least-resistance from Livermore — different timeframe, same idea of trading with established trend rather than fighting it. Not edge alone; one filter in a stack (trading-edge).