Oversold: meaning, definitions and examples

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oversold

 

[ ˈoʊvərˌsoʊld ]

Adjective
Context #1 | Adjective

market situation

Oversold refers to a situation where an asset has been sold in excessive quantities compared to its intrinsic value, leading to its price falling significantly. This term is often used in financial markets to indicate that the stock is being traded at a price below its true value, potentially creating a buying opportunity.

Synonyms

deflated, devalued, oversupplied

Examples of usage

  • The stock was deemed oversold after a major sell-off.
  • Investors should consider when a stock becomes oversold.
  • After analyzing the charts, he concluded that the asset was oversold.
  • Many traders look for oversold conditions to make purchases.
  • The oversold market indicated a potential for recovery.

Translations

Translations of the word "oversold" in other languages:

🇵🇹 sobrevendido

🇮🇳 अधिक बेचा हुआ

🇩🇪 überverkauft

🇮🇩 terlalu banyak dijual

🇺🇦 перепродано

🇵🇱 przeciążony

🇯🇵 売り超えた

🇫🇷 survendu

🇪🇸 sobrereservado

🇹🇷 aşırı satılmış

🇰🇷 과잉 판매된

🇸🇦 مباع بشكل مفرط

🇨🇿 převyšující prodej

🇸🇰 prepredaný

🇨🇳 超额销售

🇸🇮 preprodan

🇮🇸 ofurðuð

🇰🇿 артық сатылған

🇬🇪 მეტად გაყიდული

🇦🇿 artıq satılmış

🇲🇽 sobrevendido

Etymology

The term 'oversold' originated in the early 20th century as part of financial jargon used by traders and market analysts. The prefix 'over-' indicates an excessive quantity, while 'sold' refers to the act of selling. As trading has evolved, the application of the term expanded beyond mere selling, intertwining with technical analysis concepts to assess market conditions. By the late 20th century, the term became widely recognized in stock trading contexts, particularly as new analysis tools and indicators emerged to identify oversold conditions. This evolution has reflected broader trends in financial literacy and the democratization of trading strategies among individual investors.