Bear Trap
A false signal that the rising trend of a stock or index has reversed when it has not. Investopedia Says:
This can occur during a bear market reversal when short sellers believe the markets will sink back to its declining ways. If the market continues to rise, the short sellers get trapped and are forced to cover their positions at higher prices. Related Terms:
Bear Market
Bear Raid
Dead Cat Bounce
Fakeout
Short
Short Covering
Short Interest
Short Selling
Short Squeeze
Technical Analysis |