Kogumistsüklit

Kogumistsüklit refers to a type of investment strategy or market phase. The term, originating from Estonian, literally translates to "accumulation cycle." In financial markets, it generally describes a period where an asset or security is being bought by informed investors or large institutions, often at relatively low prices, in anticipation of a future price increase. This accumulation phase can be a precursor to a bull market. During a kogumistsüklit, trading volumes might be lower as the buying activity is not yet widespread, and the price may trade within a defined range. Traders and analysts often look for signs of accumulation to identify potential investment opportunities before the broader market becomes aware of the asset's potential. Conversely, the opposite of accumulation is distribution, where an asset is sold off by informed investors. Understanding the kogumistsüklit can be a key component of technical analysis and market timing strategies for those seeking to capitalize on market movements.