• Business
  • Crypto
  • Investing
  • Lifestyle
  • Money
  • Glossary
    • A
    • B
    • C
    • D
    • E
Search
Finance Reference
Quotes by TradingView
  • Business
    • The Benefits of ERP Software in the Construction Industry
      Learn How Web Optimization Can Catapult Your Business With This Easy Guide
      The Pros and Cons of Incorporating for Tax Purposes in Canada
      How Hiring Professionals Can Help You Sell Your Home Faster
      Take These Steps to Help Your Business Stand Out in International Exhibitions
  • Crypto
    • Unveil the Hidden Delights of Internet Betting for Unforgettable Wins
      Bitcoin’s Role in the Financial System of Germany
      Bitcoin and blockchain: Exploring the potential for new use cases and applications
      Understanding the blockchain: How it powers Bitcoin
      The Role of Mining in the Crypto Ecosystem: Why it Matters
  • Investing
    • How effective is Elliott wave theory?
      The Impact of Cryptocurrency Investment on Inflation – A Comparative Analysis
      How can you explain interest rate predictions?
      Errol Damelin’s Financial Golden Guidelines To Boost Investment Success Rates
      Forex Trading: What You Need to Know
  • Lifestyle
    • 4 Questions to Plan for Retirement Together
      Tips On How To Earn Some Money When Gambling Online
      Don’t Risk Your Belongings: Discover Why You Need a Residence Evacuation Pro
      Safeguarding Your Finances: Tips for Spotting and Avoiding Online Gambling Scams
      Delta-8 THC: What It Is and How It Differs from Delta-9 THC
  • Money
    • Make Money Online: 7 Real and Easy Ways
      Exploring the Basics of Stablecoins
      A Comprehensive Guide to Instant Cash Advance Apps: How They Work and What to Look For
      What is Astropay And How Does It Work?
      Building a Strong Credit Score: Your Roadmap to Financial Success
  • Glossary
    • Fix vs Trunk Club
      Comparing Stitch Fix vs Trunk Club: Which Subscription Box is Best for You?
      Relationship Between the Stock Market and the Economy
      Understanding the Relationship Between the Stock Market and the Economy
      What to Do with Your Bonus Money
      What to Do with Your Bonus Money
      How Much Money Do I Need to Quit My Job?
      How Much Money Do I Need to Quit My Job?
      How to Invest in Yourself as a Woman
      How to Invest in Yourself as a Woman
      AllABCDE
  • Glossary
  • F

Fade

By
rjonesx
-

What is a ‘Fade’

A fade is a contrarian investment strategy used to trade against the prevailing trend. “Fading the market” is typically very high risk, requiring the trader to have a high risk tolerance. A fade trader would sell when a price is rising and buy when it’s falling. Also known as “fading”.

2. In a dealer market, it is the failure of a dealer to honor a quote when a customer or another dealer wants to trade.

Explaining ‘Fade’

1. An example of fading would include buying on a dip in price and selling when the price rallies. Often it’s a rather volatile strategy, but one which offers the potential for significant short-term gains. It requires little in the way of complicated analysis but the risk that trend continues is always present.

2. For example, if a better bid is posted on another exchange for a security and a market maker is unwilling or unable to match it for a client order, the market maker may offer to trade with the other market maker (with the better price). The market maker offering the better price must accept the offer and trade at the price offered or adjust the bid price.

Further Reading

  • The State Credit Worthiness" Should Fade out of the State Bank [J] – en.cnki.com.cn [PDF]
  • Instructional leadership and the school principal: A passing fancy that refuses to fade away – www.tandfonline.com [PDF]
  • Secure the shadow ere the substance fade – www.tandfonline.com [PDF]
  • Gimme shelter or fade away: the impact of regional entrepreneurial ecosystem quality on venture survival – academic.oup.com [PDF]
  • Does the price impact of flooding fade away? – www.emerald.com [PDF]
  • Fade out/fade in: dead 1920s and 1930s Hollywood stars and the mechanisms of posthumous stardom – www.tandfonline.com [PDF]
  • A Brief Simulation Model of China's Active Fiscal Policy——A Scenario Analysis of Continuity, Fade out and Strengthener – en.cnki.com.cn [PDF]
  • Homocysteine levels and risk of essential hypertension: A meta-analysis of published epidemiological studies – www.tandfonline.com [PDF]
Previous articleFixed Interest Rate Loan
Next articleFair Market Value
rjonesx

RELATED ARTICLESMORE FROM AUTHOR

Fix vs Trunk Club

Comparing Stitch Fix vs Trunk Club: Which Subscription Box is Best for You?

Relationship Between the Stock Market and the Economy

Understanding the Relationship Between the Stock Market and the Economy

What to Do with Your Bonus Money

What to Do with Your Bonus Money

EDITOR PICKS

Obsolete Inventory

Quarter (Q1, Q2, Q3, Q4)

Joint Supply

SPX vs SPY: Which is Better for Trading Options on the S&P 500?

Earnings Before Tax (EBT Formula)

FAAMG Stocks

Latest

The Benefits of ERP Software in the Construction Industry

4 Questions to Plan for Retirement Together

Learn How Web Optimization Can Catapult Your Business With This Easy Guide

Tips On How To Earn Some Money When Gambling Online

What To Expect When You File A VCF Claim

Don’t Risk Your Belongings: Discover Why You Need a Residence Evacuation Pro

  • A
  • B
  • C
  • D
  • E
  • F
  • G
  • H
  • I
  • J
  • K
  • L
  • M
  • N
  • O
  • P
  • Q
  • R
  • S
  • T
  • U
  • V
  • W
  • X
  • Y
  • Z
  • About
  • Accessibility
  • Privacy
  • Sitemap