V-Shaped Recovery

Posted in Finance, Accounting and Economics Terms, Total Reads: 959

Definition: V-Shaped Recovery

V shaped recovery is a type f recovery observed under technical analysis of price movements of the securities. Generally it is observed in a type of economic recession and recovery of the securities resembles a "V" shape in their charts. 

Any parameter which is desirable for economy can first fall then rise forming a V shape. e.g. in case of recession it may happen that GDP may fall then in recovery it may rise back forming a kind of V Shape.

For example:

• S & P BSE Sensex observed this V shaped pattern during the recession of 2008 and recovered back by the overall growth of the economy and companies.


• Investors and traders can make money in a short period of time


• It creates a temporary fear among the traders and investors about the economy of the country

• People even lose money if they do not wait for the recovery time and sell their holdings at the bottom of the V shaped graph

Hence, this concludes the definition of V-Shaped Recovery along with its overview.


Browse the definition and meaning of more terms similar to V-Shaped Recovery. The Management Dictionary covers over 7000 business concepts from 6 categories.

Search & Explore : Management Dictionary

Share this Page on:
Facebook ShareTweetShare on G+Share on Linkedin