Downtrend: meaning, definitions and examples

📉
Add to dictionary

downtrend

 

[ ˈdaʊntrɛnd ]

Noun
Context #1 | Noun

financial analysis

A downtrend is a period in which the price of an asset consistently decreases over time. It reflects a bearish sentiment in the market and can be caused by various factors such as poor economic indicators or negative news related to the asset.

Synonyms

decline, decrease, reduction

Examples of usage

  • The stock market has been in a downtrend for six consecutive months.
  • Investors are cautious as the downtrend in oil prices continues.
  • Many traders are looking for signs of a reversal after the recent downtrend.

Translations

Translations of the word "downtrend" in other languages:

🇵🇹 tendência de baixa

🇮🇳 गिरावट की प्रवृत्ति

🇩🇪 Abwärtstrend

🇮🇩 tren menurun

🇺🇦 падіння тренду

🇵🇱 trend spadkowy

🇯🇵 下降トレンド

🇫🇷 tendance à la baisse

🇪🇸 tendencia a la baja

🇹🇷 düşüş eğilimi

🇰🇷 하락 추세

🇸🇦 الاتجاه النزولي

🇨🇿 klesající trend

🇸🇰 klesajúci trend

🇨🇳 下行趋势

🇸🇮 padajoč trend

🇮🇸 niðurtrends

🇰🇿 төмендеу тенденциясы

🇬🇪 მდინარეობა კლებულობს

🇦🇿 en aşağı trend

🇲🇽 tendencia a la baja

Etymology

The term 'downtrend' originated in financial terminology during the late 20th century as markets became more complex and investor psychology began to be studied in detail. 'Trend' itself is derived from the Old English word 'trendian,' which means to turn or to revolve. The prefix 'down' indicates a direction of movement, suggesting a negative trajectory. As stock markets advanced and electronic trading gained popularity, the concept of downtrends became crucial for investors, analysts, and traders when assessing market conditions and making decisions. Understanding downtrends is essential for predicting potential reversals and identifying when to enter or exit positions.