Rising trade tensions have pushed several S&P 500 stocks towards a “death cross,” a chart pattern that signals weakening momentum and potential further declines. Walt Disney, Bank of America, and Delta Air Lines are among the names at risk.
Disney’s 50-day moving average fell below its 200-day counterpart last week, with shares down 24% this year. Analysts say the company can achieve long-term growth in its parks business, but concerns linger about its advertising revenue.
Bank of America’s 50-day moving average teeters just above its 200-day average, putting shares nearly 17% below their year-to-date performance. Morgan Stanley analysts upgrade the stock to overweight, citing attractive valuation and potential growth in net interest margins.
Delta Air Lines is on the verge of forming a “death cross” pattern after its 50-day moving average fell below its 200-day counterpart. The company has lost over 33% this year, cutting its growth plans due to weak bookings amid shifting trade policies.
Meanwhile, Tesla’s shares are down over 38% this year, but Deutsche Bank reiterates its buy rating, citing the company’s potential as a winner in embodied artificial intelligence.
Source: https://www.cnbc.com/2025/04/14/these-stocks-are-on-the-verge-of-forming-a-dreaded-death-cross-chart-pattern.html