"Run Forrest Run!"

In the Academy-award-winning movie Forrest Gump, the title character, played by Tom Hanks, is often seen running across the country. His running starts spontaneously and, over time, attracts a large number of followers who join him, not fully understanding why he's running but eager to be part of the phenomenon. This continues until Forrest suddenly stops, leaving his followers confused and unsure of what to do next. Price momentum is akin to people running with Forrest. A stock, for a multitude of factors, sets off on a rapid upward trajectory. Investors, guided by technical metrics such as trend lines, moving averages, oscillators, etc., and their fear of missing out, start pouring in money. This accelerates the share price growth further, attracting more inflows from investors. Why it works By definition, price momentum is a self-sustaining cycle: Rapid price growth attracts investor