As a trader, experiencing drastic and sudden fluctuations in prices is bound to happen. It can be frustrating and financially painful, but is an important and unavoidable part of the trading world.
This rapid and sudden increase or decrease in a stock’s price is called a whipsaw.
Whipsaw patterns are mostly observed in an extremely volatile market where the price shifts which were vaguely obvious would either take an unpredicted nosedive or an upsurge.
Here we have written an article on Understanding the Meaning of whipsaw and Strategies to Mitigate it’s Risks
Share your whipsaw experience in the comments below 