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Buying stocks just before prices fall and selling stocks just before prices rise in a volatile market, often as the result of misleading signals.
Copyright © 2012, Campbell R. Harvey. All Rights Reserved.


1. A change in a security's price quickly followed by another change in the opposite direction. For example, a security could rise $1 then quickly lose $2, or it could fall 50 cents then rise 75 cents. Whipsaws are significant risks for day traders and speculators who may lose large amounts of money in short-term trading.

2. To buy securities at a market top or to sell at a market bottom. That is, one whipsaws when one buys or sells securities at exactly the worst possible time. One whipsaws out of fear or out of misreading market signals. To whipsaw is also called to chatter.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved
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How great for us if they'd whipsawed each other through half a dozen other adventures.
His shocking testimony included some truly discouraging words, words that cast a large shadow over the entire fetid farrago and plunged the already whipsawed Examiner newsroom into deep despair.
It may even require a policy of limit orders only so that investors are not whipsawed by price discontinuities or bedeviled by the question of what exactly constitutes a market order and how long those are good for.
Again, the voluntary and non-binding nature of the mediation procedure should afford the IRS ample protection from being whipsawed or otherwise disadvantaged in any particular case.
Overall, nylon was whipsawed by segment sales that slipped 6 percent and by prices 3 percent lower than those of the year-ago period, although cost productivity rose 4 percent as a result of restructuring and modernization of the nylon business.
Hampden-Turner and Trompenaars conclude that American managers, compared to their international competitors, are hyper-individualists, whipsawed by cultural values that produce businesses which are short-sighted, overly hierarchical and authoritarian, and too narrowly focused on quarterly profit sheets.
Do we have the ability to stand up to fear, have courage and say that we will not be whipsawed by Prejudice and the battle against the `isms.'"
Places were being played off against one another over jobs and being whipsawed on concessions," many places still are willing to "sell the farm" to attract business.
Otherwise, he says, chains can be "whipsawed" between the two.
"Investors are finding refuge in gold and the companies that produce the metal as financial markets get whipsawed by the escalating trade war between the U.S.
Treasury Action: the dovish hue to the FOMC statement whipsawed yields, which mostly dipped on the mostly "patient" market-friendly changes before following stocks higher at the very long-end.
Stocks were whipsawed, first driven down by the Brexit news.