psychological resistance

psychological resistance definition - finance
The tendency for a market to not move above certain round numbers. For instance, psychological resistance in the crude oil market exists at $40 a barrel, which was the highest level it traded to in 1990, ahead of the Persian Gulf War. Less substantial psychological resistance may be found at $35 if crude oil is presently at $30.

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

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