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Bull trap

From Wikipedia, the free encyclopedia

In stock market trading, a bull trap is an inaccurate signal that shows a decreasing trend in a stock or index has reversed and is now heading upwards, when in fact, the security will continue to decline.

It is seen as a trap because the bullish investor purchases the stock, thinking it will increase in value, but is trapped with a poor performing stock whose value is still falling.

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Look up bull trap in Wiktionary, the free dictionary.


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This page was last edited on 28 February 2024, at 09:37
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