The Daily Moving Average (DMA) is a technical indicator that calculates the average closing price of a security over a specified number of trading days — smoothing out day-to-day price fluctuations to reveal the underlying trend direction. The most widely tracked DMAs in Indian equity markets are the 50 DMA (short-to-medium trend), 100 DMA (medium trend), and 200 DMA (long-term trend). The 200 DMA is considered the most significant — stocks trading above their 200 DMA are in a long-term uptrend, while those trading below are in a structural downtrend. When the price crosses below the 200 DMA with conviction, it is broadly considered a bearish signal by institutional investors. The Golden Cross (50 DMA crossing above 200 DMA) is a bullish structural signal, while the Death Cross (50 DMA crossing below 200 DMA) is bearish. In Indian financial media and screener tools on NSE and BSE, stocks are routinely classified as 'above 50 DMA' or 'below 200 DMA' as a quick institutional filter for market breadth and stock-selection analysis. DMA levels also serve as dynamic support and resistance zones in trending markets — Nifty 50 and Bank Nifty frequently find buying support at the 200 DMA during broad market corrections.
For android only
