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In horse terms, the phrase hot means that the particular horse is excitable and hyper. Some horses who get like this can become hard to control. Horses who generally get hot are mostly hunter/jumper breeds like warmbloods and thoroughbreds. There are a couple different ways it is used.
What Is the Origin of the Saying To Strike While the Iron Is Hot? Meaning to take early action, the term strike while the iron is hot derives from a blacksmith striking a horse shoe when the temperature of the metal was exactly right. If the blacksmith would wait too long then the metal would cool and would become more difficult to shape.