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Semideviation

Categories: Charts, Trading

Think: 25 Shades.

Yes, there's a pattern in which a stock trades. You'd expect it to continue in a given line. But then it wiggles or wrinkles or tweaks a bit.

Is the pattern no longer relevant? Eh, not necessarily. It might just have been a semideviation from the expected pattern, only to have the security return to that line and continue, predictiably, as it had been playing out previously.



Find other enlightening terms in Shmoop Finance Genius Bar(f)