52-Week High/Low

Definition of '52-Week High/Low'

The highest and lowest prices that a stock has traded at during the previous year. Many traders and investors view the 52-week high or low as an important factor in determining a stock's current value and predicting future price movement.

Investopedia explains '52-Week High/Low'

As a stock trades within its 52-week price range (the range that exists between the 52-week low and the 52-week high), investors may show increased interest as price nears either the high or the low. A popular strategy used by stock traders is to buy when price exceeds its 52-week high, or to sell when price falls below its 52-week low. The rationale behind this strategy is that if price breaks out from the 52-week range (either above or below) there will be enough momentum to continue the price move in a favorable direction. Alternatively, another strategy is to sell when price reaches its 52-week high on the assumption that price will recede, or to buy when price reaches its 52-week low in anticipation of a value play. Traders and investors typically conduct additional technical and/or fundamental analysis for confirmation.

Related Definitions
Technical Analysis Advance/Decline Line - A/D Value Investing Market Breadth Record Low Breadth Indicator Value Stock Hindenburg Omen Record High High-Low Index

Articles Of Interest
Market Breadth: 52-Week Highs/Lows
Technical analysts have designed a number of indicators to grade the underlying momentum created by the events driving the market.

Stock Basics Tutorial

If you're new to the stock market and want the basics, this is the tutorial for you!

The 5 Biggest Stock Market Myths

Stocks that go down must come up, right? Wrong. We bust this myth and four other common market misconceptions.

Financial Tables: Stock Tables/Quotes

Learn how to read stock quotes and find the information you need.

How can I use market breadth to my advantage? Making Sense Of The EUR/CHF Relationship Forex Taxation Basics Canada's Commodity Currency: Oil And The Loonie Hedge Fund Failures Illuminate Leverage Pitfalls Getting Started In Foreign Exchange Futures
Sponsored links

0 comments
Leave a message...

0 Stars

Discussion

Com m unity

No one has commented yet.

ALSO ON INVESTOPEDIA

What's this?

Bull Vs. Bear - iPhone 5 Lacks Features To Stave Off Competitors

0 1 comment 9 hours ago

High-Profile Christian Business Leaders

0 1 comment 4 days ago

Kim Choi I'm sorrry Aaron but Siri is not a 'voice interaction feature'. Nuance supplies nothing more than th...

Mikel Lito Religious leader really good maintaining work and workplaces.

Home Depot Chooses Profits Over Empire Building

0 1 comment 12 hours ago

Polaris Industries and Other Big Movers In Consumer Cyclical on September 18, 2012
0 1 comment 10 hours ago

kamran When the wind is too strong birds sometime dive to let the strong wind go and then continue their jo...

CMorganson What this article fails to mention is that the high Tesla D/E ratio is normal for an automaker start...