Price Persistence
Definition of 'Price Persistence'The tendency of a security's cost to continue moving in its present direction. A stock that has been in a strong upward or downward trend for weeks will display a high degree of price persistence. Conversely, a stock that has been trading in a choppy manner for an extended period of time will display a low degree of price persistence. |
|
Investopedia explains 'Price Persistence'Opinion is divided on the investment merits of stocks displaying a high degree of price persistence. Technical analysts who believe that the "trend is your friend" may consider a stock in a strong upward trend as a good investment candidate based on the view that the stock's move higher will continue. Others may consider such a stock as overbought, and therefore a sell candidate or one to which fresh capital should not be committed. |
Related Definitions
Articles Of Interest
-
An Introduction To The Relative Strength Index
Learn the difference between relative strength and the relative strength index, a frequently used technical analysis oscillator. -
An Introduction To Oscillators
Find out how this indicator may help improve the average investor's entry and exit points. -
Relative Strength Index And Its Failure-Swing Points
Confirm your buy and sell signals with this oscillator categorized as an overbought/oversold index. -
Value Investing + Relative Strength = Higher Returns
Buying value stocks that are moving higher helps investors steer clear of value traps. -
A Primer On The MACD
Learn to trade in the direction of short-term momentum. -
War's Influence On Wall Street
Blitzkrieg? Dawn raids? Sounds like the markets and the battlefield have a few things in common. -
When To Short A Stock
Learn how to make money off failing shares. -
A Top-Down Approach To Investing
Use a global view to determine which stocks belong in your portfolio. -
Top 4 Most Scandalous Insider Trading Debacles
Here we look at some of the landmark incidents of insider trading. -
Market Summary for September 6, 2013
The major U.S. indices moved lower this week, after a lackluster jobs report sent shares lower on Friday morning.
Free Annual Reports