Trend

Market conditions under which there is believed to be a greater probability that a subsequent price movement will be in the same direction as the previous period's price movement (rather than in the opposite direction).

Extended trends lead to bubbles and crashes.

See also

• Adaptive expectations
• Bubble
• Contrarian
• Correction
• Crash
• Efficient market hypothesis
• Mean reversion
• Overshooting
• Random walk
• Rational expectations
• Trend analysis