Stock Market Vocabulary Word List (230) Earn, Earnings, Economy, Efficient, Elasticity, Emerging, Enterprise, Entrepreneur, Equilibrium, Exchange, Exchange-traded funds (ETFs), Expectation. Panic, Peak, Pecuniary, Pension, Performance, Points, Portfolio, Predict, Preferred, Preservation, Pressure, Profit, Profitability, Propensity, Prospectus, Proxy, Puts.
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Stock Market Vocabulary: List of the Most Important Words.
| Word | Definition |
|---|---|
| Stockholder | A natural or legal person who holds shares in a company |
| Stock market | Synonymous to stock exchange |
| Trade | Buying and selling on financial markets |
| Stock Market Investment Vocabulary | |
What is basic stock market?
The stock market is where shares are bought and sold by individual and institutional investors. In the modern era, the process is conducted electronically through major stock indices such as the Nasdaq 100, FTSE 100 and DAX, each of which represent the performance of a basket of constituent stocks.
What is stock vocabulary?
Stocks are traded after hours on ECNs, which match buyers and seller with a computer system in order to execute trades. Markets in which an investor purchases a security from other investors rather than the issuer, subsequent to the original issuance in the primary market. Also called secondary market.
What is stock market terminology?
Stock futures opened lower on Thursday ... "The two things we're most concerned about right now in terms of headwinds for the market and causes for volatility, are clearly tensions with Russia ...
What are the stock market terms?
Stock Market Trading Terms You Should Know . 1. Averaging Down This is when an investor buys more of a stock as the price goes down. This makes it so your average purchase price decreases. 2. Bear Market This is trading talk for the stock market being in a down trend, or a period of falling stock prices.
What are the words related to stock market?
Basic Stock Market Terms you should knowAgent: An agent is a stock brokerage firm which does the buying/selling of shares on behalf of the investor in the stock market.Ask/Offer: ... At the money: ... Broker. ... Bear Market: ... Bull Market: ... Beta: ... Bid:More items...•
What are 5 key vocabulary words that you need to know about stocks?
The most used stock market terms include bear market, bull market, blue-chip stocks, and earnings per share. Dividend, bid, ask, spread, and close are more must-know terms.
How would you describe a stock market?
The stock market is where investors buy and sell shares of companies. It's a set of exchanges where companies issue shares and other securities for trading. It also includes over-the-counter (OTC) marketplaces where investors trade securities directly with each other (rather than through an exchange).
What are some strong vocabulary words?
Full list of words from this list:serendipity. good luck in making unexpected and fortunate discoveries. ... keen. intense or sharp. ... dubious. fraught with uncertainty or doubt. ... susurration. an indistinct sound, as of whispering or rustling. ... onomatopoeia. ... corpus callosum. ... toothsome. ... bibliophile.More items...•
What are stocks in simple terms?
A stock (also known as an equity) is a security that represents the ownership of a fraction of a corporation. This entitles the owner of the stock to a proportion of the corporation's assets and profits equal to how much stock they own. Units of stock are called "shares."
What are the 4 types of stocks?
Here are four types of stocks that every savvy investor should own for a balanced hand.Growth stocks. These are the shares you buy for capital growth, rather than dividends. ... Dividend aka yield stocks. ... New issues. ... Defensive stocks. ... Strategy or Stock Picking?
How do you read the stock market?
Open, high, low and previous close. The open is the first price at which a stock trades during regular market hours, while high and low reflect the highest and lowest prices the stock reaches during those hours, respectively. Previous close is the closing price of the previous trading day.
What are the basic characteristics of stocks?
4.1 Characteristics of StockStock represents partial ownership in a company. ... Ownership implies control of how the company is operated through voting rights. ... Stock represents a residual claim on the firm's assets. ... The periodic cash-flows paid to the owner of a stock are called dividends.More items...
How do you read a stock term?
7:2913:23Stock Market Terminology for Dummies - YouTubeYouTubeStart of suggested clipEnd of suggested clipThis is basically like when someone says how's your portfolio look and this is just like what youMoreThis is basically like when someone says how's your portfolio look and this is just like what you got this is your collection. Of stocks this is your collection of assets what's your portfolio.
What is it called when a stock goes up?
The phrase "market is up" means the stock, bond, or commodity market, or an index representing them, currently trades higher than it did at some specific point in the past.
What is a stock trader called?
A stock trader or equity trader or share trader is a person or company involved in trading equity securities and attempting to profit from the purchase and sale of those securities. Stock traders may be an investor, agent, hedger, arbitrageur, speculator, or stockbroker.
What are stock Tutes?
When the price of the stock goes up, the "tutes" -- institutional investors --have discovered your amazing biotech stock and are buying behind you to catch up. A rising stock price also means shorts are scared and covering before the inevitable, massive short squeeze runs them over.
What is common stock?
Common stock, also known as capital stock, represents a share of ownership in a corporation.
What is a bid in stock market?
A bid is an amount or offer for the purchase of a stock, asset, or security made by a buyer, trader, investor, or dealer to complete a sale transaction.
What is a long trade?
A long trade is the purchase of an asset like stock with the anticipation that its market price will rise.
What is candlestick chart?
A candlestick is a price chart used to analyze and show the price movement of a stock when it hits high, low, open, and close for a particular period.
What is the ask price?
The ask price, also known as offer price, is the price a seller is willing to receive as payment for the sale of their stock or security.
What is index report?
A stock index report is a statistical measure of change of a specific market or set of stocks within a market.
What time does the NYSE open?
The standard or regular market hours for American exchanges such as the Nasdaq and the NYSE occur between 9:30 AM to 4:00 PM.
What is stock in business?
Stock – the capital raised by a business or corporation through the issuing of shares
What is a stock account?
Stock Account – Holds your different shares/positions in stocks, usually set up through a broker
What is the SEC?
SEC- (Securities Exchange Commission )- They regulate the stock market and can hault stocks and eliminate scam companies. They set the rules that we must all obey.
What is penny stock newsletter?
Penny Stock Newsletters- companies or shareholders pay these newsletter services to publish content in hopes of pumping stock
What is restricted stock?
Restricted Shares- shares owned by the company insiders still, not trade-able by the public. Insiders can sell these to raise more capital causing the float to increase.
What is short squeeze?
Short Squeeze – Short seller buys to cover position when price is going up and not down like they wanted. Short squeeze results in more demand to buy stock raising the price.
What is short selling?
Short Sell- Borrowing shares from broker, selling them and holding the money in your account hoping stock price falls and then you buy back the borrowed shares for a cheaper price and keep the difference
What Is the Stock Market and What Are Stock Market Terms?
Before we go too far, let’s make sure you’re clear about what the stock market is.
What is liquidity in stocks?
Liquidity. The measure of a stock’s ability to be bought and sold quickly. More shares being bought and sold means more liquidity. If there are lots of buyers and sellers trading lots of shares of a stock, you’ll generally find it easier to enter and exit a position.
What does "offering shares for sale" mean?
When a trader offers their shares for sale at a certain price.
What does IPO stand for in stock market?
IPO stands for initial public offering. It’s when a company goes through the process of selling shares on the stock market for the first time.
Why aren't shares tradeable?
Many companies will have large chunks of shares that aren’t tradeable because they’re held by company management or key investors.
What is forex short for?
Forex is short for foreign exchange. The term refers to the global trading of currencies in a way similar to the way stocks are traded.
What is market order?
Market Order. A type of stock market order that provides instruction to buy or sell as quickly as possible, at whatever price is currently available. Market orders can be expensive if there’s not enough volume being traded. If you’re going to trade penny stocks, you should almost never use a market order.
What is the stock market?
Consider Amazon or Flipkart. They are online markets where sellers put up their products and us buyers buy them. Amazon or Flipkart are just intermediaries who keep a watch on these transactions so that transactions go on smoothly and honestly.
What does a bull market mean?
In stock markets, bulls represent gains. Sometimes there is a lot of positivity in the markets and the price of every other share seems to be going up. In general, when major stock market indices such as nifty or Sensex are going up over a period of time, we say it is a bull market or the bulls have taken over the market. But even in bull markets, there are some shares whose prices go down and hence don’t think that bull markets means that each and every share will go up. Bull markets only represent the overall sentiment.
What is Sensex on BSE?
Sensex is a group of the 30 largest companies listed on BSE. When we say a company is listed on an exchange, we mean it is available for buying or selling on that exchange. Since Nifty and Sensex are made of the largest companies, they are used for tracking the performance of the market as a whole. 3.
What is index fund?
An Index fund is a mutual fund which tries to replicate popular stock market indices by investing in companies present in the index and in the same proportion as the index. Nifty, Nifty Junior and Sensex are major Indian indices. Index funds are less risky than most mutual funds and their expense ratio (fund management fee) is substantially less than mutual funds. It is observed that over the long term, Index funds beat most of the mutual funds. They are called passively managed funds because the simply copy the index portfolio and the fund manager does not select the companies. Examples: SBI Nifty Index fund, HDFC Index fund – Sensex Plan, UTI Nifty Next 50 Index Fund.
What is the name of the stock exchange in India?
The Bombay Stock Exchange (BSE) and The National Stock Exchange (NSE) are the two biggest stock exchanges in India. BSE is Asia’s first stock exchange founded in 1875. NSE is newer and came into being in 1992. 2.
How to calculate market capitalization?
It can be calculated by multiplying the total number of outstanding shares by the current market price (CMP) of the share. 15.
How do mutual funds work?
Explain Mutual Funds. You can invest in the stock market directly by purchasing shares yourself or indirectly via mutual funds. A mutual fund is an investment product which tries to reduce the risk of losing money in stock markets by purchasing shares of multiple companies.
What is the Stock Market?
The stock market is a place where parties (both individuals and institutions) buy and sell stocks. There are several world-renowned exchanges like the New York Stock Exchange and the NASDAQ.
Why do you need to know stock terms?
If you are an active investor, knowing these stock terms will help you see additional pathways for increasing your cash flow. When there’s a term you don’t understand, you can go down that proverbial rabbit hole and learn a whole new way of trading.
What is Stock Trading?
Stock trading is the act of buying or selling stock. A trader may buy shares of stock and hold on to them for long periods of time, letting the price appreciate and/or collecting dividends. There is nothing wrong with this strategy, which has been used by great investors like Warren Buffet to build sizeable wealth.
What is blue chip stock?
Blue-Chip Stocks - Blue-chip stocks are known for their quality and stability. Although there is no single definition, investors typically agree that a blue-chip stock has a market capitalization of over $5 billion dollars
What is beta in stock?
Beta - Beta is the result of a calculation that measures the relative volatility of a stock in correlation to a particular standard.
What are the rules for buying stocks?
Companies with stocks for purchase on a publicly-traded market must follow certain rules set forth by regulatory agencies like the SEC (Securities and Exchange Commission). They must be transparent about their accounting and make their business operations public.
What is a candlestick indicator?
Candlestick - A candlestick is a technical indicator that shows traders the opening and closing price of a stock for a specific period. Capital Gains - A capital gain is an increase in value between the price an asset (such as real estate or stocks) is sold for and the price that an investor paid for the asset.
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Explore the Words
a certificate of debt (usually interest-bearing or discounted) that is issued by a government or corporation in order to raise money; the issuer is required to pay a fixed sum annually until maturity and then a fixed sum to repay the principal
What is a value that has no relation to the stock market?
A value that has no relation with the stock’s market price and is neither in line with the par value, but is still taken as a par value for accounting purposes, is called the stated value.
What is a stock that is not very efficient and trades in the market at a price lower than its value?
A stock that is not very efficient and trades in the market at a price lower than its value is called a value stock. A value investor would consider such a stock undervalued.
What is a quadrix in stock?
A Quadrix divides the 100 variables that are used to value a stock into 7 main categories namely, momentum , quality, value, financial strength, forecasted earnings, performance, and volume.
What is the price earnings ratio?
A price earnings ratio is a company valuation ratio that is calculated by dividing a company’s market value per share by the company’s earnings per share. P/E 10 signifies that a company’s stock is trading at 10 times the value of the company’s earnings per share.
What is over the counter stock?
This is a stock trade that either does not involve a stock that’s traded on a major stock exchange (over-the-counter stock) or involves a stock that’s listed on a major exchange but is still traded over-the-counter between two institutions or an institution and its customer.
What is naked short?
As opposed to a covered position, a naked position (naked long or naked short) is an unhedged security position, i.e. a position uncovered from market risk.
Why is a stock getting a hammering?
A stock is said to be getting a hammering if investors and speculators indulge in a rapid and concentrated sale of it, thinking that it is overinflated in the market.