IslandGuy
Registered Member
I'm doing some interesting reading on getting into the stock market and just thought we could help each other out with some of the phrases used on the stock market, especially for novices like me.
One I found kind of funny was Dead Cat Bounce. Here's what it means:
Dead Cat Bounce is kind of like a rally of a stock on a fast decline, which I gather typically occurs. Some investors see the rally and think the worst of the drop is over, so they buy stock, only to see it eventually hit bottom.
Kind of gruesome, but it comes from what would happen if you dropped a dead cat -- it would bounce up some, but inevitably hit the ground again.
(Hope I got this right ... still a newbie to this stuff)
One I found kind of funny was Dead Cat Bounce. Here's what it means:
Dead Cat Bounce is kind of like a rally of a stock on a fast decline, which I gather typically occurs. Some investors see the rally and think the worst of the drop is over, so they buy stock, only to see it eventually hit bottom.
Kind of gruesome, but it comes from what would happen if you dropped a dead cat -- it would bounce up some, but inevitably hit the ground again.
(Hope I got this right ... still a newbie to this stuff)