What does “don’t catch a falling knife” mean?
The term “don’t catch a falling knife” is a common term used which means the share price may drop further. Trying to catch a knife that is falling is, of course, a dangerous thing to do and could lead to some bloodshed. Therefore, wait for the stock price to bottom or you could incur further losses. Falling stock prices Don’t catch a falling knife basically means you don’t want to buy a falling stock as it may continue to keep …