Investopedia

Hammering

Filed Under »
Dictionary Says

Definition of 'Hammering'

The rapid and concentrated sale of a stock thought to be overvalued by the market. It performed by investors and speculators who beleive that prices are inflated and that a period of liquidation is imminent.
Investopedia Says

Investopedia explains 'Hammering'

Hammering the market is achieved through large sale orders or many small sell orders. In some cases, investors may even collaborate on orders to attempt to push the share's price even lower.

Articles Of Interest

  1. Connecting Crashes, Corrections And Capitulation

    Even though crashes, corrections and capitulations are bad news for investors holding the stock, there are still ways to profit.
  2. If everyone is selling in a bear market, does your broker have to buy your shares from you? If so, won't he be losing his shirt?

    A broker won't lose money when a stock goes down because he or she is usually nothing more than an agent acting on sellers' behalf in finding somebody else who wants to buy the shares. Even though ...
  3. Short Selling Tutorial

    Want to profit on declining stocks? This trading strategy does just that.
  4. What is a stock ticker?

    A stock ticker is a report of the price for certain securities, updated continuously throughout the trading session by the various stock exchanges. A "tick" is any change in price, whether that ...
  5. Institutional Investors

    Learn more about the advantages that financial institutions enjoy when buying and selling securities.
  6. Weighted Average

    Learn how to weigh the relative importances of data points in a calculated average.
  7. Bid-Ask Spread

    Find out more about this frequently referenced, but often misunderstood, term used to describe the price at which a stock is bought or sold at.
  8. Why Is Liquidity Important?

    Learn more on why liquidity is important to consider when examining a stock, next to its share price.
  9. Understanding The Ticker Tape

    We explain the meaning and use of that reel of symbols whizzing across your TV or computer screen.
  10. Whisper Numbers: Should You Listen?

    These unofficial forecasts hold the potential for insider insight - and investment risk.
comments powered by Disqus
Marketplace
Hot Definitions
  1. Affluenza

    A social condition arising from the desire to be more wealthy, successful or to "keep up with the Joneses." Affluenza is symptomatic of a culture that holds up financial success as one of the highest achievements.
  2. Icarus Factor

    The term Icarus factor describes a situation where managers or executives initiate an overly ambitious project which then fails. Fueled by excitement for the project, the executives are unable to reign in their misguided enthusiasm before it is too late to avoid the failure.
  3. Angelina Jolie Stock Index

    An index made up of a selection of stocks from companies associated with actress Angela Jolie.
  4. Consequential Loss

    The amount of loss incurred as a result of being unable to use business property or equipment.
  5. Lease To Own

    An arrangement where an individual enters into a lease agreement with an owner with the inclusion of a clause that typically gives the individual the right, but not the obligation, to purchase the item leased at a predefined price and time.
  6. Failed Break

    A price movement through an identified level of support or resistance that does not have enough momentum to maintain its direction.
Trading Center