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Webster's New World Finance and Investment Dictionary » scale-down selling
scale-down selling
scale-down selling definition - finance
Selling
into a market that is going down. For instance, crude oil may be sold at $35 a
barrel, then more is sold at $34, and additional amounts are sold at $33. The
trader is riding the trend lower and is only committing more to the trade as
the market confirms and reinforces the bearish point of view. Producers, such
as crude oil companies, can easily sell on this basis. Commodity funds more
often sell on this basis, as they tend to be trend followers. This term is
typically used in the futures market.
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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