Define: Trend Trading

Business, Legal & Accounting Glossary

Definition: Trend Trading



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Full Definition of Trend Trading


Trend Trading is a strategy that attempts to capture gains through the analysis of an asset’s momentum in a particular direction.

The trend trader enters into a long position when a stock is trending upward (successively higher highs). Conversely, a short position is taken when the stock is in a downtrend (successively lower highs).


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Definition Sources


Definitions for Trend Trading are sourced/syndicated and enhanced from:

  • A Dictionary of Economics (Oxford Quick Reference)
  • Oxford Dictionary Of Accounting
  • Oxford Dictionary Of Business & Management

This glossary post was last updated: 22nd March, 2020