Air pocket stock,
Definition of Air pocket stock:
Stock that falls rapidly, typically in the wake of negative news, such as unexpected poor earnings.
A stock that experiences a sudden plunge in price, much like an airplane when hitting an air pocket, is described by stock traders as an air pocket stock. In the case of a stock, the fast drop is caused by unexpected bad news about the company.
Investors, like pilots, should avoid a panicky reaction. An air pocket is usually a sign of short-term turbulence, not dire straits.
How to use Air pocket stock in a sentence?
- An investor who spots an air pocket may be able to grab a bargain before the trend reverses.
- An air pocket in the stock market is a period of temporary turbulence caused by bad news.
- A single stock, a sector, or the stock market as a whole can hit an air pocket.
Meaning of Air pocket stock & Air pocket stock Definition