// TRADING TERMINOLOGY

What is Momentum?

The speed or velocity of price changes in a security or market.

In-Depth Explanation

Momentum shows the strength of a trend. Traders use momentum indicators like the RSI or the Rate of Change (ROC) to identify when a trend is accelerating or slowing down.

Practical Example

"The market has strong bullish momentum, making new highs every hour on high volume."

Related Terms

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