Air pocket stock

Air pocket stock,

Definition of Air pocket stock:

  1. Stock that falls rapidly, typically in the wake of negative news, such as unexpected poor earnings.

  2. 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.

  3. 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?

  1. An investor who spots an air pocket may be able to grab a bargain before the trend reverses.
  2. An air pocket in the stock market is a period of temporary turbulence caused by bad news.
  3. 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