Stock Market

Unlisted Securities: Understanding Unquoted Securities
A comprehensive guide to understanding unlisted securities, including historical context, types, key events, detailed explanations, risks, and market implications.
Unrealized Gains: Understanding Paper Profits
Unrealized gains are increases in the value of investments that have not yet been sold. Learn what unrealized gains are, how they work, and their significance in various financial contexts.
Upside: The Potential Gain in the Value of an Investment
Upside refers to the potential gain or increase in the value of an investment, an essential concept in finance and investing that influences decision-making and strategy.
Value Investment: A Long-Term Strategy for Growth
An investment strategy guided by the real underlying value of a company and its long-term growth potential, rather than short-term market fluctuations.
Virtual Trading: A Simulated Trading Environment
Virtual Trading involves trading assets in a simulated environment without real money, mainly for educational purposes.
Voting Share Capital: The Power to Influence Corporate Decisions
A comprehensive look at Voting Share Capital, its historical context, types, key events, importance, and applicability in modern finance and corporate governance.
Wall Street: The Epicenter of Global Finance
An in-depth look at Wall Street, the hub of financial institutions in New York, including its history, significance, types of markets, key events, and more.
Wall Street: The Epicenter of American Finance
An in-depth exploration of Wall Street, its historical significance, categories, key events, financial models, and impact on global finance.
Wash-Sale Rule: IRS Tax Regulation
The Wash-Sale Rule is an IRS regulation that prevents taxpayers from claiming a tax loss on the sale of a security if the same or a substantially identical security is purchased within 30 days before or after the sale.
Wave Count: Identifying and Labeling Each Wave in a Structure
Wave Count is a method used primarily in technical analysis to identify and label waves within a price movement structure. This technique is vital for analysts using Elliott Wave Theory to forecast potential future market movements.
Wedges: Technical Chart Pattern Analysis
A comprehensive look into the wedge chart pattern, types, historical context, and practical applications in technical analysis.
White Marubozu: Single-Candle Pattern Indicating a Strong Trend
A White Marubozu is a candlestick pattern in technical analysis that signifies a strong bullish trend, characterized by a single, long, unshaded candle body.
WIG Index: Warsaw Stock Exchange Index Overview
Comprehensive coverage of the Warsaw Stock Exchange Index (WIG), including its historical context, significance, categories, key events, formulas, and examples.
WSE: The Warsaw Stock Exchange - Main Stock Exchange in Poland
An in-depth exploration of the Warsaw Stock Exchange (WSE), the main stock exchange in Poland. Covering historical context, operations, key events, significance, and more.
Zombie Stocks: Stocks of Financially Insolvent Companies
Zombie Stocks are the shares of companies that are not bankrupt but are financially insolvent, barely surviving, and often unable to pay off their debts or generate significant profit.
American Depositary Receipt (ADR): Simplifying Foreign Investments
An American Depositary Receipt (ADR) is a financial instrument issued by U.S. banks that allows domestic investors to buy shares in foreign companies more conveniently. ADRs trade on U.S. stock exchanges and over-the-counter markets like domestic stocks.
Asking Price: Definition and Implications
The asking price is the price at which an investment or asset is offered for sale. It is also known as the ask price, asked price, or offering price.
Barometer: A Key Indicator of Economic and Market Trends
A barometer is a selective compilation of economic and market data designed to represent larger trends. This entry covers its use in economic forecasting, types, prominent examples, and applications.
Bear Market: Comprehensive Overview
A detailed examination of Bear Markets in the context of stock market performance, characteristics, causes, and historical contexts.
Blowout Merchandising: Rapid Sale of Goods and Securities
Comprehensive overview of blowout merchandising in retail and finance, including definitions, types, examples, historical context, and application.
Bottom Fisher: An Investor's Strategy
A Bottom Fisher is an investor who seeks opportunities in investments that have fallen to their lowest prices and are expected to bounce back. This strategy sometimes involves investing in bankrupt or near-bankrupt firms.
BREAK: Definitions in Finance and Investment
Comprehensive definition of 'BREAK' in financial and investment contexts, covering pricing structures, market fluctuations, accounting discrepancies, and fortuitous events.
BUY IN: Options Trading and Securities Procedure
A comprehensive guide to the 'BUY IN' procedure in options trading, focusing on the termination of responsibilities to deliver or accept stock, as well as the implications in securities transactions between brokers.
Buy Order: Definition and Key Concepts
A Buy Order is an instruction to a broker to purchase a specified quantity of a security at either the market price or a stipulated price.
Buying on Margin: An In-Depth Guide
An informative overview of buying on margin, its regulations, types, examples, historical context, and more.
Capitulation: The Terminal Stage of a Market Collapse
An in-depth look at the phenomenon of capitulation in financial markets, where investors lose hope and sell off, leading to a market bottom and bullish sentiment.
Churning: Excessive Trading in a Stock Investment Account
Churning refers to the practice of excessive trading by a broker in a client’s account mainly to generate commissions that benefit the broker, often at the client's expense. This practice is illegal and clients may seek recovery of damages.
Circuit Breakers: Measures to Halt Market Trading
Circuit breakers are measures instituted by major stock and commodities exchanges to temporarily halt trading during significant market declines. They aim to prevent market free-fall by balancing buy and sell orders and allowing the public to catch up on news.
Common Stock Fund: Investment in Common Stocks
A comprehensive guide to understanding Common Stock Funds, their characteristics, and their role in investment portfolios.
Cum Dividend, Cum Rights, or Cum Warrant: Financial Terms Explained
A detailed explanation of cum dividend, cum rights, and cum warrant, including their definitions, types, implications, and related terms in the stock market.
Cumulative Preferred Stock: Comprehensive Overview
Cumulative Preferred Stock is a type of preferred stock where unpaid dividends accumulate until they are paid out, taking precedence over common stock dividends.
Cyclical Stock: Economic Sensitivity Explained
A cyclical stock is a type of equity that tends to rise quickly when the economy turns up and fall quickly when the economy turns down. Examples include housing, automobiles, and paper. Conversely, stocks of noncyclical industries, such as food, insurance, and drugs, are less directly affected by economic changes.
Day Order: An Overview
A day order is a directive to buy or sell securities that expires unless executed or canceled on the day it is placed. This article delves into the definition, examples, and differences of a day order in comparison to other order types such as Good-Till-Canceled Orders (GTC).
Depository Trust Company (DTC): Central Securities Repository
The Depository Trust Company (DTC) is a central entity for electronic exchange of stock and bond certificates, owned by major financial institutions and exchanges on Wall Street.
DIP: Momentary Weakness in Securities Prices
A detailed explanation of a 'DIP' in securities prices, its relevance in trading strategies, and advice for investors.
Discount Broker: An Introduction
A detailed explanation of a discount broker, including its services, comparison with full-service brokers, and relevance in stock markets and real estate.
Dividend Reinvestment Plan (DRP): Automatic Reinvestment of Shareholder Dividends
A Dividend Reinvestment Plan (DRP) allows shareholders to reinvest their dividends automatically into additional shares of the company's stock, increasing the taxpayer's basis in the shares and necessitating meticulous record-keeping for tax purposes.
Dividend Yield: Annual Percentage of Return on Stock
A comprehensive overview of Dividend Yield, which represents the annual percentage of return earned by an investor on a common or preferred stock.
Donated Stock: Capital Stock Contributed Without Consideration
Delve into the concept of donated stock, fully paid capital stock of a corporation that is contributed without consideration to the same issuing corporation. Explore definitions, types, examples, and implications.
Dow Jones Industrial Average (DJIA): Comprehensive Overview
A detailed explanation of the Dow Jones Industrial Average (DJIA), the most widely followed benchmark of stock market performance, including its components, history, and impact.
Down Tick: Sale of a Security at a Lower Price
A comprehensive explanation of 'Down Tick'; a sale of security at a price below that of the preceding sale, also referred to as a 'minus tick'.
Emerging Market: High Potential and High Risk
An emerging market is a foreign economy that is developing in response to the spread of capitalism and has created its own stock market. Analogous to small growth companies, emerging markets have high potential as well as high risk.
Employee Stock Option: A Comprehensive Guide to Equity Compensation
Employee Stock Options are opportunities for employees to purchase stock in the company they work for, often at a discount from market value. Explore the two main tax categories: statutory (incentive stock options) and nonstatutory.
Exchange: Definition and Applications
An in-depth exploration of exchange, covering its various forms, historical context, examples, related legal provisions, and FAQs.
Exercise Price: The Amount at Which an Option can be Exercised
The exercise price, also known as the strike price, is the fixed price at which the holder of an option can buy (in the case of a call option) or sell (in the case of a put option) the underlying stock, or the price at which a convertible security can be redeemed for shares of stock.
Fail to Deliver: A Comprehensive Overview
A 'Fail to Deliver' situation occurs when the broker-dealer on the sell side of a contract has not delivered securities to the broker-dealer on the buy side. This situation is often due to the selling customer failing to provide the necessary delivery.
Forecast: Estimating Future Trends
Detailed exploration of forecasting techniques in economics and stock markets, covering methods, applications, and related concepts.
Fractional Share: Unit of Stock Less Than One Full Share
A fractional share represents a unit of stock that is less than one full share. It occurs as a result of stock dividends, stock splits, or through direct fractional share purchasing programs.
Full-Service Broker: Comprehensive Brokerage Services
A full-service broker provides a wide array of financial services beyond merely executing trades, including personalized investment advice, research, and financial planning.
Fundamental Analysis: Evaluating Financial Statements for Stock Predictions
Fundamental Analysis involves the examination of financial statements and other economic data to predict future stock price movements. Unlike technical analysis, which focuses on market factors such as price and volume movements, fundamental analysis investigates the intrinsic value of a company.
Glamor Stock: Definition and Characteristics
A comprehensive guide to Glamor Stock, including its characteristics, historical context, examples, and importance in the financial markets.
Going Long: Investment and Speculation
Exploring the concept of 'Going Long' in investment and speculation, covering its definition, types, considerations, examples, historical context, and comparisons.
Going Short: Selling a Stock or Commodity That the Seller Does Not Have
Going Short refers to selling a financial instrument that the seller does not currently own, with hopes of buying it back later at a lower price. This strategy is commonly used in stock and commodity markets.
Graveyard Market: Definition and Characteristics
A Graveyard Market is a bear market where investors who sell face substantial losses, while potential investors prefer to stay liquid until market conditions improve.
Greater Fool Theory: Understanding Market Overvaluation and Speculation
An in-depth look into the Greater Fool Theory, which suggests that the price of an overvalued stock or market can continue to rise as long as there are investors willing to pay a higher price.
Greenmail: Premium Stock Acquisition in Corporate Takeovers
Greenmail refers to the practice of a target company purchasing its shares from a hostile suitor at a premium to the market value, benefitting the suitor at the expense of the remaining shareholders.
Growth Stock: High-Growth Potential Investments
Growth stock refers to shares of a corporation that have shown exceptional earnings growth and are expected to continue to perform better than average in terms of profit growth.
Hammering the Market: Intense Selling of Stocks Due to Speculated Market Drop
An in-depth look at the concept of 'Hammering the Market,' a term used to describe the intense selling of stocks by speculators who believe prices are inflated and the market is about to drop.
High Flyer: High-Priced and Highly Speculative Stock
High Flyers are stocks that exhibit high volatility often associated with unproven high-technology companies. They experience sharp price movements over short periods.
Historic Low: Understanding the Lowest Price Paid for a Security
A thorough exploration of the concept of 'Historic Low', the lowest price paid for a security over a specified period or since it began trading. Understand the significance, applications in investment strategy, and related terms.
In The Money: Options Contracts
Detailed explanation of 'In The Money' options, including definitions for call and put options, calculations, examples, historical context, and FAQs.
Index Fund: A Diversified Investment Strategy
An Index Fund is a type of Mutual Fund designed to mirror the performance of a broad-based index such as the Standard & Poor's 500 Index. This investment strategy aims to reflect the market's overall returns.
Index Options: Calls and Puts on Indexes of Stocks
Index Options are derivative securities that allow investors to trade in a particular market or industry group without having to buy all the individual stocks. They are available on several exchanges including New York, American, and Chicago Board Options exchanges.
Industrial Classification: Producers and Distributors of Goods and Services
An in-depth understanding of the classification of industries, focusing on companies that produce and distribute goods and services, excluding utilities, transportation companies, and financial service companies.
Initial Public Offering (IPO): A Corporation's First Public Stock Offering
An Initial Public Offering (IPO) represents a corporation's first offering of stock to the public. This significant event in the business lifecycle allows companies to raise capital from public investors.
Inside Information: Corporate Affairs Not Yet Public
Understanding the concept of inside information in corporate affairs, which involves confidential knowledge about a company's situation that hasn't been disclosed to the public. This includes regulations preventing insiders from trading based on such information.
Insider Trading: Illegal Trading on Non-public Information
Insider trading involves trading a public company's stock or other securities by individuals with access to non-public, material information about the company. This practice is illegal and provides an unfair advantage to those with insider knowledge.
Investment Club: Group Investment Strategies
An Investment Club is a group of individuals who pool their assets to make joint investment decisions, typically contributing a set amount of capital regularly and voting on investment choices.
Letter Stock: A Comprehensive Guide on Unregistered Securities
An in-depth exploration of Letter Stock, an unregistered category of stock noted for its restrictions and unique characteristics within the securities market.
Limit Order: A Detailed Overview
A comprehensive guide to Limit Orders, which includes their definition, types, benefits, examples, historical context, and related terms in trading.
Long: Understanding Long Positions in Finance and Investing
A comprehensive overview of the long position in finance and investing, including definitions, examples, historical context, and related terms.
Market Capitalization: Understanding the Value of a Corporation
Market Capitalization measures the value of a corporation as determined by the market price of its issued and outstanding common stock. It is a key metric in finance and investment analysis.
Market Index: Weighted Values of Component Stocks
A comprehensive overview of market index numbers representing weighted values of the components that make up the index, including stock market indices weighted by prices and outstanding shares.
Minus Tick: Definition and Insights
A comprehensive guide to understanding the concept of a Minus Tick, its significance in the stock market, and related terms like Downtick.
Moving Average: Analyzing Trends Over Time
The moving average is a crucial statistical tool used to smooth out short-term fluctuations and highlight longer-term trends in datasets, such as the average price of a security or inventory.
National Quotation Bureau: Publisher of Pink Sheets
The National Quotation Bureau, now known as Pink Sheets LLC, is the publisher responsible for the compilation and dissemination of quotes for over-the-counter (OTC) securities, primarily known for their 'Pink Sheets'.
Net Income Per Share of Common Stock: Comprehensive Guide
Detailed coverage of Net Income Per Share of Common Stock (EPS) including its definition, application, calculation, and its relation to Fully Diluted Earnings per Share.
Net Transaction: A Detailed Overview
An in-depth exploration of net transactions, where buyers and sellers engage in securities transactions without fees or commissions, including historical context and examples.
New Issue: Introduction to Stock or Bond Offerings
A comprehensive explanation of new issues, including initial public offerings (IPOs), regulations, and related terms.
Odd Lot: Securities Trade
An Odd Lot refers to stocks or bonds traded in blocks of fewer than 100 shares. It is different from a round lot, which usually consists of 100 shares. This term is significant in trading as it can affect liquidity and transaction costs.
Offering Price: Definition, Types, and Examples
Comprehensive guide to understanding the offering price in the context of securities, including types, examples, and historical significance.
On Margin: Financial Trading Concept
An in-depth explanation of the concept 'On Margin' in financial trading, including its definition, applications, and considerations.
Out of the Money Option: Understanding the Basics
An in-depth explanation of Out of the Money (OTM) options, including definitions, examples, and important considerations in options trading.

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