Relief Rally
Categories: Trading
You had a Big Gulp. And then another. And then you got into 405 traffic outside of LA at 4:45 pm on a Friday. Bad idea. But you made it. And about 4 minutes later, you had a relief rally, which is totally different than the stock market application.
In fact, a relief rally (See: Rally), just means that stocks...bounce. Like, they'd been hammered from $28 to $25 to $22 on threats of government regulation and a patent lawsuit and of course, China. But then it turns out that the gov decided not to regulate the company. Boom, up 2 bucks. And then the patent suit was dropped. Boom, up 3 bucks. And then China came out with a newspaper announcement saying "We are not Silicon Valley Intellectual Property thieves." But...no boom. The stock didn't rally off of that news, because nobody believed it. Relief rallies can only go so far.
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Finance: What is Dead Cat Bounce?13 Views
Finance allah shmoop What is a dead cat bounce It
sounds like a dance move from the old west right
but it actually refers to a terrible situation when the
market plummets rebounds very slightly and then plummets again The
idea comes from the notion of dropping a cat off
of a high building It hits the cement dead bounces
a bit before then is a big wet thud Yeah
peeta no cats were harmed in the production of this
definition Thie market has fallen from five thousand twelve hundred
now it's at fourteen hundred and now it's back to
twelve hundred Yeah that uplift of two hundred points there
from twelve hundred fourteen hundred before it went back twelve
hundred which is the concrete that's the dead cat bounce
I'm not totally sure who came up with this term 00:00:50.247 --> [endTime] but wei have a pretty good idea