TRADING GLOSSARY
Consolidation
Consolidation is a period when price moves within a relatively contained range rather than maintaining a clear directional trend. It may follow a strong move or occur between trends, and it does not determine the direction of the next breakout.
EXAMPLE
In a hypothetical example, price trades between 50 and 53 for several sessions after a rise, forming a consolidation range.
RELATED TERMS
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Risk warning: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. Glossary definitions are general education only and are not investment advice. Risk disclosure