The Second Break of the 50-Day Moving Average: A Stronger ASX Momentum Entry

Written by Christopher Hall, AdvDipFP | Authorised Representative, AFSL 526688 | Updated July 2026

The second break of the 50-day moving average is often a more compelling ASX momentum entry than the first. Gary Glover's anecdotal observation, developed across his trading career, is that a stock which breaks above its 50-day, pulls back to sit on it or dips just below, and then reclaims it has shown the line holding as support on a retest — not merely on a single cross. This short note explains why that secondary reclaim matters, how it fits the broader 50-day moving average trading system, and — using WiseTech in July 2026 — what a stock still waiting for the clean second break looks like.

Why the Second Break of the 50-Day Is Often the Stronger Signal

In a mixed or low-conviction market, the first time a stock reclaims its 50-day moving average is not always the highest-quality signal. The move can be a single cross that fails on the next pullback. The second break tells a different story: the stock has already been above the 50-day, come back to test it, and reclaimed it — evidence that the line is acting as support rather than a level the price merely brushed once.

In the 10 July 2026 session Gary Glover pointed to this structure on several ASX names: a stock that breaks the fifty, comes back either to hold it or break below it, and then comes back up through it was, in his description, the setup working more effectively in that environment. A secondary reclaim accompanied by a lift in volume — the kind of pivot-day volume Stan Weinstein looks for — adds confirmation that the retest has been absorbed.

This is a practitioner observation, not a formal study. The 50-day moving average remains a minimum trend filter rather than a standalone buy signal, and the second-break structure is one refinement within the wider framework, not a system on its own.

A Live Example: WiseTech Still Waiting for the Clean Second Break (July 2026)

The clearest way to understand the second break is to watch a stock that has not yet given one. In his 14 July 2026 session, Gary Glover described WiseTech (ASX: WTC) doing the opposite of a completed second break: it had broken above its 50-day moving average, fallen back below, broken above again and fallen back again — flatlining around the line without a clean reclaim holding on the retest. That repeated crossing back and forth is exactly the low-quality signal the second-break discipline is designed to filter out.

The read is instructive because WiseTech was, at the same time, attempting to build a 0-1-2-3 base of four consecutive higher lows after a heavy decline. The higher lows told Gary the downtrend had stopped; what the stock still lacked was the confirmation — a clean reclaim of the 50-day that holds on the retest. Until that arrives, the disciplined response is to wait rather than act on each cross. Gary was explicit he had no trigger yet. This is a dated session observation, not a recommendation.

Watch the 10 July 2026 session this note draws on: https://www.youtube.com/watch?v=sBjLscWF6ao

Remember that past performance is no guarantee of future results, and all trading involves risk.

Frequently Asked Questions

What is the second break of the 50-day moving average?

It describes a stock that breaks above its 50-day moving average, pulls back to test the line — sitting on it or dipping just below — and then reclaims it a second time. Gary Glover's anecdotal observation is that this secondary reclaim, especially on a lift in volume, is often a more reliable momentum entry than the first cross because the line has held as support on a retest.

What does a pending or failed second break look like?

A stock that keeps crossing above and falling back below its 50-day moving average — flatlining around the line without a reclaim that holds on the retest — has not yet given a clean second break. Gary Glover described WiseTech (ASX: WTC) this way in his 14 July 2026 session: repeated crosses in both directions, no trigger. The second-break discipline is what keeps a trader out of a stock until the line holds. This is a dated observation, not a recommendation.

Is the 50-day moving average a buy signal on its own?

No. The 50-day moving average is a minimum trend filter, not a standalone buy signal. A trader still needs the wider setup to confirm — the moving average helps time an entry within a valid momentum structure rather than generating trades by itself.

Sources

#	Source	Type
1	Gary Glover (AR 259215), Novus Capital. FMP session, 10 July 2026.	Practitioner session
2	Gary Glover (AR 259215), Novus Capital. FMP session, 14 July 2026 (https://youtu.be/YQJ8SCb0ZGY) — WiseTech pending-second-break observation.	Practitioner session
3	Stan Weinstein — pivot-day volume concept (referenced by Gary Glover, 10 July 2026 session).	Session reference

All Gary Glover observations in this article are anecdotal practitioner observations developed across his trading career — not formal studies.

Related Finer Market Points Educational Resources

• The 50-Day Moving Average Trading System — Christopher Hall

• The 0-1-2-3 Base: How Gary Glover Reads Four Consecutive Higher Lows for an ASX Bottom — Christopher Hall

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Analysis attributed to Gary Glover (AR 259215) reflects his anecdotal observations developed across his trading career, shared in a recorded weekly session with Finer Market Points. It is general commentary, not personal financial advice, and is not a formal study. Gary Glover is an Authorised Representative of Novus Capital Limited (AFSL 238 168).

Educational Disclaimer: This content is for educational purposes only and does not constitute financial advice. Past performance is no guarantee of future results. Consider your financial situation and seek professional advice before making investment decisions.

Finer Market Points Pty Ltd, CAR 1304002, AFSL 526688, ABN 87 645 284 680. This general information is educational only and not financial advice, recommendation, forecast or solicitation. Consider your objectives, financial situation and needs before acting. Seek appropriate professional advice. We accept no liability for any loss or damages arising from use. Authors and presenters may hold positions in discussed companies and investment products.