You buy at a very high price,then the price lower down. It you sell then you will lose money,if you wait,you are be "Tao Lao"ed. Tao Lao is "套牢" in chinese. 套 means you are binded and 牢 means you can not move.

In the stock market,you buy a piece of stock at high price,then the price become lower and lower.you can sell them,but ,you will lose much money;if you don't,you are being taolao..

it means the current value of your holding stock is less than the amount of your investment in this stock.

tao4 lao2, is that you're in the dilemma of stock market, for (quote) " the current price is (much) lower than your price", and you cant decide whether to sell your stocks or just wait and see--the price may rise after you sell them, then you'd lose some money; but if you don't, it could still have big chance to get worse, and you'd lose more money.. thing is, you cant really tell, and being stuck there.

套牢