Period of digestion

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Period of digestion

The time period of often high volatility after a new issue is released when the trading price of the security is established by the market.

Period of Digestion

The time during which the price of a new issue's early trading on the secondary market fluctuates significantly. The period of digestion occurs as the market attempts to determine the new issue's appropriate market price.
References in periodicals archive ?
Fats, especially heat-processed oils, slow you down because they require long periods of digestion, which steals energy from your body.
This finding is consistent with the cyclical nature of IT spending, where periods of digestion and refinement follow periods of heavy technology investment.