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  1. Home
  2. /Glossary
  3. /FOMO (Fear of Missing Out)
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trading

FOMO (Fear of Missing Out)

The anxiety that others are profiting from an opportunity you're missing.

Definition

The anxiety that others are profiting from an opportunity you're missing. FOMO drives people to buy at the top during rallies. It's one of the most expensive emotions in trading.

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Related Terms

FUD (Fear, Uncertainty, Doubt)

Negative information spread to scare people into selling.

Sentiment

The overall mood or attitude of market participants toward an asset.

Accumulation Phase

A period when smart money quietly buys up an asset before a major price move.

Annualized Return

The average yearly return on an investment, calculated to account for compounding.

Arbitrage

Profiting from price differences of the same asset across different markets.

Ask Price

The lowest price a seller is willing to accept for an asset.

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