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Why are the ups and downs of an investment on the stock market called a trend? Isn't a trend something associated with people's behavior that someone follows by adopting that same behavior themselves?

These seem to be completely unrelated concepts

Whoever can help this will be deeply appreciated.

Thanks.

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    Did you try looking up trend in a good dictionary?
    – J.R.
    Nov 1, 2018 at 15:11
  • For future reference, it would be helpful if you provide your own research (such as dictionary entries). This will help prevent close votes such as "answerable with a dictionary." See Details, Please and the Contributor's Guide (Asking) for tips and examples.
    – Em.
    Nov 5, 2018 at 9:31

1 Answer 1

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Trends regarding data can be shown on graphs with numbers.

The value of stocks and bonds (their prices) can be graphed over time. Those prices are the data that are then put into a graph. The prices can be shown to go, down, up or be somewhat flat.

The same idea can be used (if you have data) for just about any human endeavor.

For example, you can show traffic patterns on roads to coastal areas, and from that create graphs that will give you the "trends" of beach going in summer.

Definition of trend:

pattern of gradual change in a condition, output, or process, or an average or general tendency of a series of data points to move in a certain direction over time, represented by a line or curve on a graph.

Definition of trend

That said, every time someone says "trend" they do not mean they are being scientific or that they have a graph to back up their statement. They generally mean they believe some kind of behavior is more frequent, less frequent, or the same than at some earlier point in time.

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  • Isn't it always the case, though, that with the passing of time behaviors become more frequent, less frequent, it stay the same. Sends like a tautology to me, which is why describing such behavior as being a trend doesn't seem to add much to what we already knew. Nov 8, 2018 at 16:33
  • Anyways, I think I get it, trend describes the overall shape of the curve. Perhaps with particular attention to ups, downs, and flats. Thanks. Nov 8, 2018 at 16:35

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