In a previous work we introduced the algorithm \SQEMA\ for computing first-order equivalents and proving canonicity of modal formulae, and thus established a very general correspondence and canonical completeness result. \SQEMA\ is based on transformation rules, the most important of which employs a modal version of a result by Ackermann that enables elimination of an existentially quantified predicate variable in a formula, provided a certain negative polarity condition on that variable is satisfied. In this paper we develop several extensions of (...) \SQEMA\ where that syntactic condition is replaced by a semantic one, viz. downward monotonicity. For the first, and most general, extension \SSQEMA\ we prove correctness for a large class of modal formulae containing an extension of the Sahlqvist formulae, defined by replacing polarity with monotonicity. By employing a special modal version of Lyndon's monotonicity theorem and imposing additional requirements on the Ackermann rule we obtain restricted versions of \SSQEMA\ which guarantee canonicity, too. (shrink)