Trading glossary · structure

bounce

When price drops to a level and then jumps back up, like a ball hitting the floor.

The fuller meaning

A rebound after a decline, typically off support, a moving average or a Fibonacci zone. A bounce shows buyers defending a level but does not end a downtrend by itself; traders look for a higher low or a break of structure before calling a turn.

bounce.

Related words

above-average volume · break of structure · breakaway gap · breakdown · breakout · broken level · channel · choppy market · common gap · daily chart