Momentum investing

(redirected from MOMO)
Also found in: Dictionary, Thesaurus, Acronyms, Wikipedia.

Momentum Investing

An investment philosophy in which the investor buys (or short sells) securities that had been performing well over the previous three to 12 months and sells those that have been performing poorly over the same period. This is a form of short-term investing based on the underlying belief that trends generally continue for a long period of time. This belief is at odds with efficient markets theory, because momentum investing assumes that even inefficiently priced securities tend to remain inefficiently priced. Economists therefore disagree on whether momentum investing is a sound investment strategy. See also: Market momentum.

Momentum investing.

A momentum investor focuses on stocks that are rising in value on increasing daily volume, and avoids stocks that are falling in price or that are perceived to be undervalued.

The logic is that when a pattern of growth has been established, it will continue to gain momentum and the growth will continue. Momentum investing is essentially the opposite of contrarian investing.

Mentioned in ?
References in periodicals archive ?
MOMO was founded in the 1960s by racing driver Gianpiero Moretti.
In the past 10 years, over three million vehicles have been equipped with MOMO steering wheels.
With the acquisition of MOMO Group, BREED's products will be on 295 models from 40 car companies for this model year.
Yak meat can be lean and tough; wise Tibetan cooks made their sha momos juicier by adding a bit of oil and water to the filling.
After sucking out the broth, Tibetans dab sepen, a brick red chili paste, on a plate, and dip the momos in, holding them with fingertips.
Wangdu said that in his family, momos are not eaten on the first day of Losar, because they look like purses for holding money -- and the mind is supposed to focus on purification and family rather than work and financial worries.
But food remains an important unifier for the ones who gather, many sporting signs of rebellion like platinum- bleached braids and skintight hoodies, for momos and Mountain Dew at small restaurants in Queens.
A new place called Norling Tibet Kitchen has the best beef momos in the neighborhood.
Chili Chicken, a spicy stir-fry of green peppers, golden chicken, purple onions and red chili paste, is on almost every table, along with momos and sepen, a fiery blend of dried chilies, garlic and cilantro.
They dress the momos with tandoori marinade and bake them in a tandoor .