New York

IT'S been a great year for catching falling knives.

The buy-the-dip strategy that's been a hallmark of the US stock rally is outdoing itself in 2016, where buying stocks in the most extreme state of free fall is paying like rarely before. An index tracking shares in the Russell 3000 Index that register as "oversold" on a momentum metric is up 28 per cent, according to data compiled by Bloomberg.