verb
- to trade beyond one’s financial capacity or resources
- to engage in excessive trading activity, especially in financial markets
Usage: business; finance
Usage: finance; investing
Examples
- The small company overtraded and ran into serious cash flow problems.
- Many new investors overtrade in their first year, making too many transactions.
- The business overtraded during the expansion and couldn’t meet its obligations.
- Day traders often overtrade when they chase quick profits.
- The firm’s aggressive strategy caused them to overtrade beyond their means.
- Experts warn against overtrading in volatile market conditions.