reaction


Definition
A reversal of the prevailing trend in price movement for a security. The term is most often used to describe a decline after a period of rising prices. A reaction is often considered beneficial for the long term health of the market, in that the prices had risen too quickly and the drop put them back to more realistic levels. also called correction.

Related Terms

scorched-earth policy -  More

clientele effect -  More

Related Personal Finance Articles

Loading...

reaction in the news

Loading...

reaction is ...

... part of the Trading subject.

Search volume for reaction

Browse by Letter: # A B C D E F G H I J K L M N O P Q R S T U V W X Y Z