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Snowballing


The effect that arises from the activation of stop orders in a declining or advancing market, leading to further downward or upward pressure on prices. This, in turn, would set off more stop orders and more price pressure, and so on. The process continues unabated until several cycles take place. Like a rolling snowball growing bigger and bigger, the process gathers more and more momentum over time.



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This section covers a wide-ranging array of terms and concepts, among others, in the area of exchanges and financial marekts at large ...
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