Sold-Out Market
A market for a specific futures contract that, due to a substantial liquidation of holdings by investors, has limited offerings. Investopedia Says:
A sold-out market will typically occur with contracts that are weakly held and have poor liquidity. Once a market is sold-out for a specific futures contract, the market's transaction levels decrease, and, as a result, it becomes difficult for investors to enter into new positions. Related Terms:
Liquidation
Liquidity
Short Squeeze
Transaction |