overbought Definition
a condition in which the price of a stock or other security has risen too steeply and too fast in relation to its underlying fundamentals, and is therefore vulnerable to a sharp decline.
Using overbought: Examples
Take a moment to familiarize yourself with how "overbought" can be used in various situations through the following examples!
Example
The stock market is overbought and due for a correction.
Example
The company's shares were considered overbought by many analysts.
Example
The overbought market conditions led to a sell-off in the tech sector.
overbought Synonyms and Antonyms
Synonyms for overbought
Antonyms for overbought
Summary: overbought in Brief
'Overbought' [oh-ver-bawt] describes a situation where the price of a stock or security has risen too quickly and too high compared to its underlying value, making it vulnerable to a sharp decline. It is often used in financial contexts, such as 'The stock market is overbought and due for a correction.' Synonyms include 'overpriced,' 'overvalued,' and 'inflated,' while antonyms include 'oversold' and 'undervalued.'