Microsoft this week formed an ominous chart pattern, and other stocks could follow it. The tech giant’s 50-day moving average declined below its 200-day counterpart. This is known as a ” death cross ,” a phenomenon technical analysts often see a sign of further declines to come. This comes during a rough patch for the broader market. The major averages are tracking for a losing week and month as thanks to mounting headwinds, such as geopolitical uncertainty, rising global trade tensions and high valuations — particularly after the artificial intelligence-fueled bull market of last year. Recent economic reports have also sparked questions about slowing economic growth and weakening consumer sentiment. Amid this volatility, CNBC Pro screened for stocks that were on the verge of forming the dreaded death cross chart pattern. Specifically, we searched for stocks in which: The gap between the 50- and 200-day moving averages is decreasing The 50-day hasn’t traded below the 200-day in the past few months The two averages are within 3% of each other These stocks made the cut: Caterpillar Caterpillar made the cut, with its $365 50-day average approaching its 200-day of around $361. Shares have struggled this month, losing 7% in part due to rising trade tensions. The company also reported in late January mixed fourth-quarter results, putting pressure on the stock. UBS upgraded Caterpillar to neutral from sell earlier this month after its latest financial print, however, saying it sees a balanced risk/reward for the stock given its “reasonable initial 2025 outlook.” Las Vegas Sands The 50-day average of Las Vegas Sands also was just a few cents above its 200-day counterpart, putting the stock at risk. Las Vegas Sands are already down 13% year to date and have lost 2.8% in February. Vulcan Materials Vulcan Materials made the list with its 50-day average of around $264 quickly approaching its 200-day counterpart of $258. The stock has fallen about 4% in 2025, while the S & P 500 materials sector is up nearly 5% in that time. Eaton Eaton has already formed a death cross chart pattern, with the power management company losing than 13% this year as the artificial intelligence trade has begun to falter. The stock is coming off of a strong 2024 that was fueled by enthusiasm over the company’s business in providing electrical infrastructure and industrial products for AI data centers, such as transformers. Shares are still up more than 46% over the past year. Ross Stores Ross Stores’ 50-day and 200-day moving averages were virtually at the same level above $146 through Thursday’s close. The last time Ross Stores formed a death cross was in 2023. Shares have lost 7.2% this year even as the company was considered a favorable play in a high inflation environment. J.B. Hunt Transport Services J.B. Hunt ‘s 50-day moving average has been oscillating above and below its 200-day moving average, breaking above the latter in late 2024 after holding below it for most of last year. Through Thursday’s close, the 50-day was just above the 200-day at around $171. The stock have fallen 5.4% this year. Trane Technologies Trane Technologies has not seen a death cross chart pattern since mid-2022. Now, the stock’s 50-day average is within reach of its 200-day counterpart of $366. Shares are down about more than 6% year to date. The company, which makes energy-efficient products for heating, ventilation and air conditioning, has lost momentum amid President Donald Trump’s antagonistic stance on climate solutions and green investments. Hubbell Electrical products manufacturer Hubbell’s 50-day moving average is about $3 above its 200-day counterpart, putting the stock in danger of a death cross. The last time the stock formed the ominous pattern was in mid-2022, in the throes of a bear market on Wall Street. PTC PTC ‘s stock has already formed a death cross chart pattern, with the 200-day moving average of $181.15 scaling above a 50-day of nearly $180. — CNBC’s Nick Wells contributed to this report.
