Toppy

DEFINITION of 'Toppy'

A slang term used when markets are reaching highs that are unstable, and therefore a decline can be expected. In the U.S. the Dow Jones Industrial Average, the Nasdaq and the S&P500 are all used to gauge the overall market. The term "toppy" is used when these indexes are rising, but there is analyst sentiment indicating a potential decline.

BREAKING DOWN 'Toppy'

The market moves in cycles along with the economy. The indexes (representing the stock market) will climb to new highs then fall back down. The fall is known as many things such as a pullback, a dip or a retracement. Before this fall, analysts use the term "toppy," meaning that the market is reaching a top and might come back down.

RELATED TERMS
  1. Dow Jones U.S. Market Index

    A market-capitalization-weighted index maintained by Dow Jones ...
  2. Market Swoon

    A slang term for a decline in the overall value of the stock ...
  3. Dow Jones 65 Composite Average

    A composite index that measures changes within the 65 companies ...
  4. Dow 30

    Commonly referred to as just the "Dow," the Dow 30 was created ...
  5. Yankee Market

    A slang term for the stock market in the United States. Yankee ...
  6. Aussie

    Slang term that is used to refer to the Australian dollar.
Related Articles
  1. Investing Basics

    Understanding The S&P Dow Jones Indices

    S&P Dow Jones Indices offer more than 830,000 indices, including the S&P 500 and the Dow Jones Industrial Average.
  2. Investing Basics

    Why You Need To Know About S&P Dow Jones Indices

    This Article introduces the S&P Dow Jones Indices (SPDJI), available variant categories and index trading advantages
  3. Professionals

    Average Market Returns

    We look at the major indexes and their average yearly returns.
  4. Mutual Funds & ETFs

    Index Investing: What Is An Index?

    An index is a statistical measure of the changes in a portfolio of stocks representing a portion of the overall market. It would be too difficult to track every single security trading in the ...
  5. Investing Basics

    An Introduction To Stock Market Indexes

    Investopedia explains the five most talked about indexes and what makes them all different.
  6. Mutual Funds & ETFs

    Index Investing: Conclusion

    We hope this tutorial has given you insight into how you can track the market, use it as a benchmark and make investments. Some points to remember: An index is a statistical measure of the changes ...
  7. Professionals

    Market Indexes and Averages

    Market Indexes and Averages
  8. Fundamental Analysis

    Making Sense Of The Dow Reaching Record Levels

    When gauging the Dow's shifts in order to assess the U.S. economy and make investment decisions, one must know what the Dow represents,and what it doesn't.
  9. Options & Futures

    Market Bottom: Are We There Yet?

    No one rings a bell when the bear market's over, but that doesn't mean there's no way to predict a bottom.
  10. Mutual Funds & ETFs

    Index Investing: Other Indexes

    We've covered most of the big U.S. indexes, but we've barely scratched the surface of all the other indexes in the world. There are literally thousands of indexes tracking nearly any market. ...
RELATED FAQS
  1. How do you compare the Dow Jones Industrial Average (DJIA) and the Nasdaq?

    The Dow Jones and Nasdaq work in different ways to signal market trends. Learn which is best for you. Read Answer >>
  2. When can you trade the stocks in the Dow Jones Industrial Average (DJIA)?

    Find out when you can trade shares linked to the Dow Jones Industrial Average during NYSE and Nasdaq trading sessions. Read Answer >>
  3. Can you buy shares in the Dow Jones Industrial Average (DJIA)?

    Invest in the Dow Jones Industrial Average index through index funds or ETFs. Read Answer >>
  4. Is the Dow Jones a stock exchange?

    Learn about the Dow Jones Industrial Average and its impact. This historically significant index provides a daily snapshot ... Read Answer >>
  5. What is the difference between the Dow and the Nasdaq?

    Because of the way people throw around the words "Dow" and "Nasdaq," both terms have become synonymous with "the market," ... Read Answer >>
  6. Is the Dow Jones a public company?

    Find out how the Dow Jones Industrial Average tracks the health of the U.S. economy. This fluctuating number indicates the ... Read Answer >>
Hot Definitions
  1. Stop-Limit Order

    An order placed with a broker that combines the features of stop order with those of a limit order. A stop-limit order will ...
  2. Keynesian Economics

    An economic theory of total spending in the economy and its effects on output and inflation. Keynesian economics was developed ...
  3. Society for Worldwide Interbank Financial Telecommunications ...

    A member-owned cooperative that provides safe and secure financial transactions for its members. Established in 1973, the ...
  4. Generally Accepted Accounting Principles - GAAP

    The common set of accounting principles, standards and procedures that companies use to compile their financial statements. ...
  5. DuPont Analysis

    A method of performance measurement that was started by the DuPont Corporation in the 1920s. With this method, assets are ...
  6. Call Option

    An agreement that gives an investor the right (but not the obligation) to buy a stock, bond, commodity, or other instrument ...
Trading Center