HopefullyInLawSchool
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LSDefine
Simple English definitions for legal terms
technical adjustment
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A quick definition of technical adjustment:
Technical adjustment: A quick change in the overall direction of stock prices, either going up or down, that happens briefly during a period of time when the market is generally going in the opposite direction. For example, during a time when the market is going down, there may be a short period of time when prices go up before continuing to go down again.
A more thorough explanation:
Technical adjustment refers to a short-term change in the overall trend of stock market prices. This change can be either upward or downward and is usually brief in nature. For example, during a bear market, there may be a short rally where prices increase before continuing to decline.
Another example of a technical adjustment could be a sudden drop in prices during a bull market, followed by a quick recovery. These adjustments are often caused by technical factors such as changes in trading volume or market sentiment, rather than fundamental factors such as company earnings or economic indicators.
Overall, technical adjustments are a normal part of the stock market cycle and can provide opportunities for investors to buy or sell stocks at advantageous prices.