Overbought
Full definition of overbought
Adjective
overbought
- (finance) A stock or commodity market condition where there has been significant trading bidding up prices to higher levels, levels which seem overextended or excessive on a short-term basis.
Usage notes
The term can be applied subjectively, or in technical analysis there are various different indicators which technical analysts may use for (more or less) objective identification of overbought conditions.