oversold

oversold definition - finance
A market state that is determined by using technical analysis; an oversold condition exists when prices have declined too steeply and quickly compared to fundamental conditions. The next direction will be upward because everyone who wanted to sell already has done so.

Webster's New World Finance and Investment Dictionary Copyright © 2003 by Wiley Publishing, Inc., Indianapolis, Indiana.
Used by arrangement with John Wiley & Sons, Inc.

Comments
Improve this definition.
Do you have more to add? Share your linguistic knowledge or observation.
/Register to save your comments.