overtrade

American  

[oh-ver-trayd] / ˌoʊ vərˈtreɪd /

verb (used without object)

overtraded, overtrading

1. to trade in excess of one's capital or the requirements of the market.

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overtrade British  

/ ˌəʊvəˈtreɪd /

verb

1. (intr) (of an enterprise) to trade in excess of capacity or working capital

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Etymology

Origin of overtrade

First recorded in 1615–25; over- + trade

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Example Sentences

See Examples For:

overtrade overtraded overtrading

John Bogle, founder of the Vanguard Group said he is concerned about the temptation to overtrade more narrow ETFs.

From US News ● Oct. 7, 2014

As a result, they often overtrade, and in so doing, undermine their prior performance.

From Scientific American ● Sep. 6, 2011

I had overtraded; I had pyramided my paper profits until my affairs were in such a state that a sudden drop of ten points would wipe me out entirely.

From The Gold Bag by Carolyn Wells

The pattern day-trading rule was meant to protect retail investors from overtrading, and also to protect brokerages, which had to meet certain cash-balance and margin requirements.

From MarketWatch ● Jun. 3, 2026

“Without expiration dates to impose discipline, perpetual futures facilitate continuous speculation and potentially overtrading, rapid losses and financial harm.”

From Barron's ● Jun. 2, 2026

Professional investors might react more, as their job may be to try to outperform market indexes, for example, but the average individual might be best served by continuing to buy and hold, rather than overtrading.

From Salon ● Mar. 28, 2025

Emotional investors are those who decide with emotions rather than reason, committing cognitive errors that lead to harmful behavior – such as overtrading, buying high and selling low, or vice versa.

From Forbes ● Oct. 14, 2014

Attracted by the cheapness of the goods offered and full of confidence in their ability to meet all debts with the proceeds of the lucrative southern trade, the people indulged in extravagant overtrading.

From Outline of the development of the internal commerce of the United States 1789-1900 by Thurman William Van Metre

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