Contrarian Investing
Definition
An investment strategy that goes against prevailing market sentiment — buying assets that are out of favor, underperforming, or widely hated, and selling those that are popular and overextended.
Example
Contrarian investors buy sectors during widespread pessimism and sell when greed is at extreme levels.
Related Terms
Frequently Asked Question
What is Contrarian Investing?
Contrarian investing bets against prevailing sentiment — buying hated assets and selling popular ones. Based on the premise that markets overreact, creating opportunities in unloved sectors.
APA Citation
Last updated:
· Source: VixShield Trading Glossary — From SPX Mastery by Russell Clark
⚠️ Not financial advice. This definition is educational content from the SPX Mastery book series by Russell Clark (VixShield). Past performance is not indicative of future results. Trading options involves substantial risk of loss and is not appropriate for all investors. Always paper trade before risking real capital.