The term tortoise rally is used to describe a slow and steady increase in the value of financial markets over time. Tortoise rallies benefit investors that practice a buy and hold strategy.
Financial markets, including those that offer commodities, bonds, and stocks, typically demonstrate an upward or downward trend over time. A tortoise rally is a slow and steady increase in the price of securities traded in a financial market.
Individuals purchasing securities, and holding onto them for relatively long terms, benefit from a tortoise rally, since their investment is providing them with a steady return over time. Investors that profit from the volatility of a market, such as day traders, are oftentimes frustrated with the lack of the market’s sudden movements. It’s important to note that a tortoise rally is always associated with a bull market, while not every bull market is also a tortoise rally.