Tortoise Rally

DEFINITION of 'Tortoise Rally'

A slow-and-steady appreciation of financial market prices over time. A tortoise rally contrasts with more volatile rallies where prices rise and fall quickly while maintaining a general upward trend.

BREAKING DOWN 'Tortoise Rally'

Long-term retail investors generally enjoy the steady gains produced by a tortoise rally. However, active traders and hedge funds can become frustrated by the lack of quick drops and rises that allow these players to capitalize on their superior information and market access. For them, volatility creates opportunities to buy underpriced securities for the long haul or to create short-term trading profits.

RELATED TERMS
  1. Bear Market Rally

    A period in which prices of stocks increase during a bear market. ...
  2. Sucker Rally

    A temporary rise in a specific stock or the market as a whole. ...
  3. Echo Bubble

    A post-bubble rally that becomes another, smaller bubble. The ...
  4. Santa Claus Rally

    A surge in the price of stocks that often occurs in the week ...
  5. Rally

    A period of sustained increases in the prices of stocks, bonds ...
  6. Bunny Market

    Bunny market describes a stock market that does not have an obvious ...
Related Articles
  1. Active Trading Fundamentals

    Forces That Move Stock Prices

    You can't predict exactly how stocks will behave, but knowing what affects prices will put you ahead of the pack.
  2. Investing

    Turnaround Stocks: U-Turn To High Returns

    Find out which catalysts can turn struggling stocks around to create a tidy profit.
  3. Economics

    When Stock Prices Drop, Where's The Money?

    Market perception can create money - and make it disappear into thin air.
  4. Options & Futures

    The Stock Cycle: What Goes Up Must Come Down

    Stock prices seem random, but there are repeating cycles. Learn to take advantage.
  5. Products and Investments

    How African-American Savers Are Changing

    Although African Americans are still somewhat hesitant when it comes to retirement planning and investing in the stock market, that habit is changing.
  6. Investing News

    Equity Winners since Market Low March 2009 (GGP, PCLN)

    Discover three of the biggest equity winners since March 2009. These stocks have their own unique catalysts but also have some characteristics in common.
  7. Chart Advisor

    Russell-2000 Could Decide Fate Of Broad Market (IWM)

    The Russell-2000 has failed to keep pace with large-cap indices and could drag the broad market to lower ground.
  8. Investing

    The Case for Dividend Growers

    In the search for quality income, there is one area to consider as a potential investment opportunity this year—dividend growth stocks.
  9. Investing News

    What if You Had Invested $10,000 at 2008's Low?

    If you had invested $10,000 at the bottom of the financial crisis in 2008, what would your return be?
  10. Stock Analysis

    Safeway: An Activist Investment Analysis (SWY)

    Find out how Barry Rosenstein and hedge fund Jana Partners pushed Safeway into a change of ownership despite its controversial "poison pill" defense.
RELATED FAQS
  1. How can I hedge my portfolio to protect from a decline in the food and beverage sector?

    Learn why countercyclical investments, such as precious metals, serve as the best hedge against exposure to the food and ... Read Answer >>
  2. How attractive is the food and beverage sector for a growth investor?

    Learn how the food and beverage sector's volatility makes it attractive to growth investors, and discover how these investors ... Read Answer >>
  3. What techniques are most useful for hedging exposure to the insurance sector?

    Learn how investing style, whether growth-oriented or conservative, determines what strategies an investor uses to hedge ... Read Answer >>
  4. How can I hedge my portfolio to protect from a decline in the retail sector?

    Understand how savvy investors use noncyclical and countercyclical sectors to hedge against exposure to the volatile retail ... Read Answer >>
  5. What options strategies are best suited for investing in the retail sector?

    Learn how savvy investors employ options strategies such as the long straddle and long strangle to profit from the volatile ... Read Answer >>
  6. What techniques are most useful for hedging exposure to the utilities sector?

    Learn how investors hedge against the stability of the utilities sector by seeking out sectors that are more volatile than ... Read Answer >>
Hot Definitions
  1. Keynesian Economics

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

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

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

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

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

    Economies of scale is the cost advantage that arises with increased output of a product. Economies of scale arise because ...
Trading Center