## Definition of Parabolic Move

What is the definition of the term "parabolic move"? What does the term "parabolic move" mean?

The term "parabolic move" is derived from the mathematical term "parabola".

If you have Googled the term "parabola", then you have probably seen a picture of what a "parabola" looks like. Now apply this to a stock chart, and you are witnessing what is called a "parabolic move".

In a "parabolic move", a stock starts going up. Buying interest increases dramatically, sending the stock into orbit. The stock is basically moving up in a straight line, giving the chart the look of a "parabola".

This is the definition of a "parabolic move".

An example of a parabolic move? Qualcomm (QCOM) in the late '90s. QCOM was loved by many investors in the late '90s, sending the stock into a seemingly unstoppable upswing.

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