A trending share is the term for when a company’s stock is undergoing a significant move in comparison to its underlying index. The trend can be either upwards or downwards.
Trending shares can arise from a variety of different situations, like a heavy media interest in the company, a major swing in market sentiment or a surprise in a company’s earnings release.
Many traders believe that the ability to spot shares that are on an upward or downward trend can lead to profit. Day traders, in particular, use shares on trends to drive short-term trading.