Golden Cross and Death Cross: Excel Trading System

Golden Cross and Death Cross are very popular strategies for any Trend following Trading system. You might have heard about these terms if you have subscribed for any of the Technical analysis course or tutorial. Even if you haven’t, we would help you understand these terms and its application. In this post, we would also provide you an Excel sheet where you can backtest Golden Cross and Death Cross on any of the Stock or Index. Please read through below.

Read our other Excel based Trading strategies here.

What is Golden Cross and Death Cross?

Golden Cross and Death Cross are important Trend reversal points on a Technical chart of a Stock or Index. Its is based on Moving Average Crossover. It is a general rule that Stock gives a Buy signal when faster moving average crosses above the slower moving average, while its gives a Sell signal when faster moving average crosses below the slower moving average. Golden Cross is indicated when 50 Days simple moving average crosses above the 200 day moving average. And Death Cross is indicated when 50 Days moving average crosses below the 200 day moving average. Either crossover is considered more significant when accompanied by high trading volume.As simple as that! It works perfectly on majority of indices and stocks in a long term.

Strategy Overview

Paramter Value
Preferred Timeframe Daily
Indicators Used 50 Days SMA, 200 Days SMA
Buy Condition 50 Days SMA is above 200 Days SMA
Short Condition 50 Days SMA is below 200 Days SMA
Stop Loss No fixed stop loss, Stop and reverse when excel gives opposite signal
Targets No fixed target, Stop and reverse when excel gives opposite signal

Excel Sheet

Parameter Description
Worksheet Name Golden Cross and Death Cross
Inputs Stock Name (B4) Name of the Stock or Index. Ex: NSE:NIFTY, NASDAQ:AAPL
Quantity (B5) Number of shares to Buy when Golden Cross or Death Cross happens
Initial Capital (B6) Your initial Trading capital
Number of Days (B7) Number of days to backtest this system
Outputs Final Capital (E4) Final capital after backtest period.
Profit Points (E5) Total points earned
Total Profit/Loss (E6) Total Profit/Loss in Exact terms
Total Profit/Loss % (E7) Total Profit/Loss in Percentage terms

Screenshot

Golden and Death Cross

How to use this Excel Sheet

Step 1: Open the sheet from the link provided at the end of this post.

Step 2: Provide inputs in Cells B4 to B7. Make sure that you are connected to the internet.

Step 3: Wait for around 30 seconds. The sheet will update automatically depending on the inputs you provided.

Step 4: Check the outputs in Cell E4 to E7.

Step 5: Take Buy/Short position based on the signal at Position column.

Download Link

Below is the link to this sheet from Google Docs. You can edit it online. There is no need to download it in your local machine.

Golden Cross and Death Cross: Google Sheets

 

8 Comments

  1. Hi ,

    Your sheet is amazing. I think in the output columns where you are using B7 there should be B6.

      • Hi,
        See If we input following in input

        Stock Name NSE:NIFTY
        Quantity 30
        Initial Capital 50000
        Number of Days(Atleast 500) 500

        then output is
        OUTPUTS
        Final Capital 2967.5
        Profit Points 82.25
        Total Profit/Loss 2467.5
        Total Profit/Loss % 493.50%
        In the output we see profit of 2467.5 & Our inital capital is 50000 so final capital should be 2467.5 + 50000 =52467.5 but in the output we are getting final capital is 2467.5 + 500 = 2967.5.
        Thats why I Think .

  2. Hi,
    See If we input following in input

    Stock Name NSE:NIFTY
    Quantity 30
    Initial Capital 50000
    Number of Days(Atleast 500) 500

    then output is
    OUTPUTS
    Final Capital 2967.5
    Profit Points 82.25
    Total Profit/Loss 2467.5
    Total Profit/Loss % 493.50%
    In the output we see profit of 2467.5 & Our inital capital is 50000 so final capital should be 2467.5 + 50000 =52467.5 but in the output we are getting final capital is 2467.5 + 500 = 2967.5.
    Thats why I Think .

  3. Hi, I just downloaded the spreadsheet Golden Cross and Death Cross but it doesnt update for stocks even when connected to internet. Is there a way out?

    • Hi Anup,

      It connects perfectly for me. There may be a lag of few minutes, can you please keep the sheet open for sometime and check if it updates.

  4. Hey Manish, I loved your sheet and it was very helpful. I have already created my own moving average excel sheet. Can an excel sheet be made with both moving average, golden cross, and death cross together to create a even more efficient model? If so, how should i go about it?

    • Hi Sam,

      Golden cross and Death cross are also based on Moving average. What additional MA you want to introduce in the system?

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