Sideways Market
a.k.a. Sideways Trend, Ranging market, Choppy market
A market moving within a horizontal band without a clear up or down trend.
In plain English
A market moving within a horizontal band without a clear up or down trend.
A sideways market goes nowhere in a hurry. Price bounces between a rough floor and ceiling, making neither higher highs nor lower lows. On the chart, it looks like a flat, wobbly line. Traders also call it a sideways trend, a range or a choppy market.
Trend-following strategies get chopped to pieces here, while range traders feel at home. Sideways markets often come before big moves, as pressure builds until one side wins.
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