Definition of Congestion:
The state of being congested.
Congestion is a supply and demand trading factor that influences the liquidity and trading price of a security or trading instrument. Congestion is a concept used by technical analysts and technical traders.
A period of trading that takes place in a relatively narrow range, without a significant increase or decrease in the price of the security or index. See Flat Market; Trading Range.
Congestion is a market situation where the demand to buy an asset or trading instrument is matched by the seller's supply. This results in the price not moving significant, making the price action consolidate or look congested. Congestion is a trading range or sideways price movement, showing the balance between buyers and sellers.
Synonyms of Congestion
Crowding, Overcrowding, Amplitude, Bar, Barrier, Blank wall, Blind alley, Blind gut, Block, Blockade, Blockage, Bottleneck, Cecum, Choking, Choking off, Clog, Closeness, Compactness, Congestedness, Consistence, Consistency, Constipation, Costiveness, Crowdedness, Cul-de-sac, Dead end, Denseness, Density, Embolism, Embolus, Engorgement, Firmness, Flood tide, Full, Fullness, Gluiness, Glut, Gorge, Hardness, High tide, High water, Hyperemia, Impasse, Impediment, Impenetrability, Impermeability, Impletion, Imporosity, Incompressibility, Infarct, Infarction, Jam, Jammedness, Obstacle, Obstipation, Obstruction, Overbrimming, Overburden, Overcharge, Overflow, Overfreight, Overfullness, Overload, Overspill, Overweight, Plenitude, Plethora, Relative density, Repletion, Satiety, Saturation, Saturation point, Sealing off, Solidity, Solidness, Specific gravity, Spissitude, Spring tide, Stop, Stoppage, Strangulation, Supersaturation, Surcharge, Surfeit, Thickness, Viscidity, Viscosity, Viscousness
How to use Congestion in a sentence?
- Congestion occurs when the price is relatively stable or moving sideways as a result of buyers and sellers meeting each other with equal strength.
- Congestion occurs because there are no new develops in an asset, and therefore buyers and sellers are balanced. Or, traders and investor may be digesting a big move before deciding what to do. It can also occur prior to a major news announcement as traders await the news.
- The new bridge should ease congestion in the area.
- Congestion ends when either the buyers or the sellers overpower the other and the price moves out of the congestion price range, typically on high volume.
Meaning of Congestion & Congestion Definition