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contrarian
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   Also found in: Dictionary/thesaurus, Financial 0.09 sec.

contrarian

Individual who acts in the opposite way to popular opinion. Investors adopting a contrarian approach to stock selection would choose stocks and industry sectors that are performing poorly or are out of favour. Adopting a contrarian approach can be a profitable method of stock selection provided investors do not confuse stocks that are out of favour with those of companies that are badly managed and unlikely to recover.



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Recall that, as contrarians, we can view a heavy backdrop of short interest bullishly, as it could represent future buying power.
As contrarians, we like to see a healthy short-interest ratio in the midst of an uptrend, due to the fact that the shares may benefit from a short-covering rally on any positive developments.
But for all of their manifold virtues and straight thinking, the contrarians are still professors, think-tankers, and independent scholars.
 
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