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Bull Trap - A bull trap is sign recognized on the stock market or stock exchange that indicates that a stock or security may be changing direction, or reversing it's path, and that the stock in question is starting to rise instead of fall, but really, the security still continues to fall even after the sign is seen. This is viewed as a trap because people have a tendency to see the sign as a preview to greater return and purchase additional stocks or securities, only to watch them plummet becoming trap with a underperforming stock or security that is still falling. |