The tendency for share prices on an upward trend to continue to rise whilst those on a downward trend tend to fall is called

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The tendency described is known as momentum, which suggests that prices will continue to move in the direction they are already going. Mean reversion refers to the tendency for prices to return to their average over time, excess volatility refers to fluctuations that are not justified by fundamental factors, the equity premium puzzle is a term used to describe the observation that stocks tend to have higher returns than bonds despite greater risk, and a random walk is a theory that suggests that stock prices move randomly and are not predictable.

The Tendency for Share Prices on an Upward Trend to Continue