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Structural Trend Reversal

Definition

A structural trend reversal signifies a fundamental and long-lasting change in the prevailing direction of an asset’s price movement, moving beyond temporary fluctuations. This reversal is typically driven by significant shifts in underlying market fundamentals, technological advancements, or major regulatory developments. It suggests a sustained alteration in investor perception and demand. Such a reversal often marks the end of a prolonged bull or bear market cycle.