Bajaj Auto, Tata Motors among 7 stocks forming Golden Cross pattern; here's what it means
Golden Cross is an important technical indicator of bullishness. It occurs when a short-term moving average crosses over a major long-term moving average on the upside
The Indian benchmark indices gained nearly 2 percent each on November 5 tracking positive global cues as Democrat Joe Biden inched closer to victory in the US presidential election. Meanwhile, seven stocks from BSE 100 companies formed Golden Cross pattern on the daily chart. Golden Cross is an important technical indicator of bullishness. It occurs when a short-term moving average crosses over a major long-term moving average on the upside. For example, if a stock's 50-day moving average (DMA) value goes above its 200-DMA, then it will form Golden Cross. Interestingly, 4 out of these 7 stocks closed on November 5 even higher than their 50-DMA. (Data: ACE Equity)
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Bajaj Auto | The stock closed at Rs 2,950.45 on November 5, 2020. Its 50-DMA was Rs 2968.13, which was above the 200-DMA of Rs 2807.13.
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Bharat Forge | The stock closed at Rs 473.50 on November 5, 2020. Its 50-DMA was at Rs 466.69, which was above the 200-DMA of Rs 396.49.
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Godrej Consumer Products | The stock closed at Rs 669.95 on November 5, 2020. 50-DMA: Rs 689.43, which was above the 200-DMA: Rs 639.25.
