Yo yo is slang used to describe an exceptionally unstable market.
The name is derived from the movements made by a toy referred to as a yo yo, where stock prices continually go up and down.
A yo yo market has no distinguishing characteristics of either an up market or down market, but it takes on features of both an up market as well as a down market.
Stock prices in a yo yo type of market swing very high to low over a particular time period, making it highly difficult for purchase and hold investors to profit from the markets.
Yo yo markets can, be that as it may, turn out to be gainful situations for insightful traders who are able to perceive purchase and sell points and start making trades prior to a market reversal.
These markets are described by sharp up and down movements in stock prices that can happen in a short short period of time, for example, weeks, days or even hours.
The movements are usually unexpected, and they generally include a majority of the securities moving as one.
Traders on Wall Street likewise allude to this sort of movement as “all or nothing” when everything about the market is fortunate good or unfortunate.