May 11, 2021
Estimated reading time: < 1 min
A crossover is a point on the trading chart in which the price and a technical indicator line intersect or when two indicators themselves intersect.
Crossovers are used to predict potential changes in a trend.
Popular examples include the “Golden Cross” and “Death Cross”, which look for crossovers in between the 50 SMA and 200 SMA.
In most situations, the crossover signals that it’s time to either buy or sell the underlying asset.
Traders use crossovers along with other indicators to track turning points and trend strength.
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