MACD Bearish Crossover
The MACD line crossing below its own signal line — momentum turning negative.
The mirror of a bullish crossover: the MACD line crosses down through its own signal line, meaning short-term momentum has just turned negative relative to its recent trend. Same underlying mechanics as the bullish version, opposite direction.
Same logic in reverse — more commonly treated as confirming evidence for an existing bearish setup than a standalone trigger, with attention paid to whether the crossover happens well above the zero line (an extended market potentially rolling over) versus close to it (a more marginal shift).
The same whipsaw risk applies in a genuinely range-bound market — expect false signals in the absence of a real prevailing trend, and treat any single crossover as one input, not a complete trading decision on its own.
- Same caveats as the bullish crossover apply, inverted — it's a lagging, relative signal, best read alongside price action rather than alone.
- A crossover happening well above the zero line vs. right around it can carry a different read (the former is sometimes seen as momentum rolling over from an overbought extreme).