profit taking investment & finance definition
Selling
an investment whose price has appreciated in order to capitalize on the
difference between the price at which the investment was bought and the
investment’s appreciated value. It often is used to explain why a market has
moved lower after a sustained period of moving higher.
See profit taking in Wall Street Words
The general widespread selling of securities or of a particular security after a significant price rise as investors realize, or take, their profits. Although profit taking depresses prices, it does so temporarily. The term usually implies that the market is trending upward. Also called taking profits.
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