Business Chart of the Day: Ominous Death Cross Forms on Meta’s Chart

Business Chart of the Day: Ominous Death Cross Forms on Meta’s Chart
A car drives by a new logo and the name 'Meta' on the sign in front of Facebook headquarters in Menlo Park, Calif., on Oct. 28, 2021. Justin Sullivan/Getty Images
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Shares of Meta Platforms, Inc. may soon be heading lower. A classic “death cross” has formed on the chart.

Many traders use moving averages to gain insight into the future direction of the market. When a short-term moving average crosses above a longer-term one, it suggests that the market is about to go higher. The opposite is true when the shorter-term average crosses below the longer-term one.