A comprehensive glossary is a valuable reference tool that can be used when attending seminars, watching or listening to financial programs and reading financial market material. Heres a glossary of 40 key stock trading terms for beginners. Basic financial vocabulary is very much required to decode analysts jargons, financial dailies and whats happening in the macro as well as micro world. Stock market terms, investment terminology and definitions. We have the information you need to make smart investment decisions. After reading the dialogue, fill in the blanks using the key terms provided to test your knowledge of some common stock market terms. Then well jump into the more advanced terms that you may still have questions about. Short position a technique used by investors who believe the price of a stock is going down, selling stocks he does not yet own then later buying it back at a lower price to close out the transaction. This glossary of terms has been produced to aid beginning traders in the challenging task of becoming familiar with new vocabulary and terminology. An investor usually chooses abandonment when the option is outofthemoney on the expiration date. This az pocket guide to understanding financial terms is just one of the achievements of ebss partnership with nala.
In addition, a fastmoving market may cause parts of a large market order to execute at different prices. With this handy guide, market terms will start making way more sense. Additionally, consider practicing your investing skills with our list of stock market. The asx groups activities span primary and secondary market services, including capital formation and hedging, trading and price discovery australian securities exchange central counter party risk transfer asx clearing corporation. Common share market terminology for beginners part 1. Glossary of commonly used stock market terminologies arbitrage the business of taking advantage of difference in price of a security traded on two or more stock exchanges, by buying in one and selling in.
It is one of the important constituent of capital market. The stock market game glossary armorel high school. More than 5,000 terms related to stocks, bonds, mutual funds, banking, tax laws, and transactions in the various financial markets are presented alphabetically with descriptions. However, it differs from the stock exchange in that it deals with the assets themselves i. As with anything else, mastering the stock market means mastering the lingo and for traders, that can be a bit confusing at first. Stock market is also known as stock exchange or share market in all over the world. Finding an integrated glossary of stock market terms and definitions is only possible in the stock market section of a financial dictionary. If you are reading one of my stock market articles, you may have come across an investment term or phrase that you are unfamiliar with. The glossary of financial and investing terms allows you search by term or browse by letter more than 8,000 terms and definitions related to the stock market.
Aug 10, 2011 free stock market dictionary ebook pdf stock market terms and terminologies are essential to understand stock markets in depth. Complete the following table by writing down the definition of the terms listed on the left. A beginners guide to stock trading guest author nov 28, 2019, 11. Speak the language of the stock market consult our stock market terms for a glossary of terms and vocabulary that may help you better understand the capital markets. The term is also used more broadly to include electronic trading that takes place over computer and telephone lines. Similar to the stock exchange where forces of supply and demand. Download it once and read it on your kindle device, pc, phones or tablets. The process of granting permission to the securities of a company to be listed in a stock exchange and to provide trading facilities for the securities in the market. Before you go out into too many technicalities, here is a little glossary with few key terminologies that you should know before you start investing.
A bear market is a period of pessimism and declining stock market prices, where. For those that would rather not look at our epic infographic, the 40 trading terms. A stock that has been removed from, and is no longer traded on, the new york stock exchange, the nasdaq stock market, or the american stock exchange. This article attempts to create a list of stock terms, that will not require you to go and search elsewhere. To separate wise investments from inappropriate ones and develop your stock investing smarts, you should understand these and other terms related to the trading arena. The dictionary is intended to supplement rather than replace expert investment advice. Ive assembled a list of the more pertinent investment phrases and terms, along with their definitions, that i frequently reference in my stock market. A brokerage firm is said to be an agent when it acts on behalf of the client in buying or purchasing of shares. Having launched it originally in 2004 we have now updated it with modern terminology to meet with the increasing demand for the book. Day trading terminology is something every trader will need to understand. Stock market meaning in the cambridge english dictionary. We have expanded this years edition of the investment dictionary by introducing several terms since our last update in 2012 that cover industry updates, as well as other terms not covered previously.
The most comprehensive investing glossary on the web. Not only are there many concepts and technical terms to decipher. Similar to the stock exchange where forces of supply and demand meet and prices are determined accordingly. To separate wise investments from inappropriate ones and develop your stock investing smarts, you should understand these and other terms. Stock market definition, a particular market where stocks and bonds are traded. Stock market glossary stock trading terms dictionary.
Stock terms glossary of stock market terms and definitions. Stock market terms are industryspecific jargon for the securities industry. More than 5,000 terms defined and explained barrons business dictionaries out of printlimited availability. Stock market definition of stock market by merriamwebster. A stock market may delist a company if it merges with another company, files for bankruptcy, moves from one stock market to another, or fails to meet a stock markets minimum standards. Learn vocabulary, terms, and more with flashcards, games, and other study tools.
Keep this list handy when screening for potential trades on stockstotrade. Some of the definitions are tsxspecific and, as a result, may differ from standard general definitions. Averaging down this is when an investor buys more of a stock as the price goes down. Below, you will find a list of stock market terminology, including the most common stock terms and their definitions for a better grasp of stock market operations. A collection of 587 glossary and 123 commonly used abbreviations and acronyms kindle edition by a.
Beta 1 means the stock is more volatile than the market. This article gives to the point, elementary meanings of stock market terms. Glossary of commonly used stock market terminologies arbitrage the business of taking advantage of difference in price of a security traded on two or more stock exchanges, by buying in one and selling in the other or vice versa. Beta 1 indicates that the stock s price will move with the market. Not only are there many concepts and technical terms to decipher, but nearly everybody will try to give you conflicting pieces of advice. The higher a pe ratio is, the more there is expectations for higher earnings. The glossary of financial and investing terms allows you search by term or browse by letter more than 8,000 terms and. Gorilla trades is not only an online stock picking service, but it also provides subscribers with educational resources and information to help them decide how and when to buy and sell stocks, how to limit losses, and how to increase returns. Definitions of terms used on stock tables directions. American stock exchange a stock exchange in new york bourse the stock exchange in paris new york stock exchange a stock exchange in new york types. The ceo of a company could be referred to as the honcho or head honcho. Expanding your stock market vocabulary will enable you to be a better investor, so that you can trade successfully. The most commonly used terms and phrases in stock market are. The stock market refers to the collection of markets and exchanges where the issuing and trading of equities stocks of publicly held companies, bonds and other sorts of.
Following is a glossary of stock market terms all or none or aon. In a fastmoving market, 500 shares of the order could. A bull market is a prolonged period where investment prices rise faster than their historical average, as a result of economic recovery, boom, or investor psychology. A comprehensive glossary is a valuable reference tool that can be used when attending seminars, watching or listening to financial programs and reading financial market. Stock market terms for dummies by billie nordmeyer mba, ma initial public offering, abnormal return and liquidity are just a few of the terms you will come across when you invest in the stock market. Additionally, consider practicing your investing skills. Whether you are a beginner at investing or seasoned investor being familiar the basic term of the stock market is essential.
A recession is defined as two consecutive quarters when a country sees negative economic activity. What are the most useful terms in the stock market. Below, you will find a list of stock market terminology, including the most common stock terms and their definitions for a better grasp of stock market. Basic investment terms creative capital management. Stock market terms speak the language of the stock market consult our stock market terms for a glossary of terms and vocabulary that may help you better understand the capital markets. Use features like bookmarks, note taking and highlighting while reading stock market dictionary. Buying or selling securities after being listed in the financial market. A stock market may be a physical place, sometimes known as a stock exchange, where brokers gather to buy and sell stocks and other securities. Quite simply it means you try to buy something cheap in one place, to make a profit selling it somewhere else. We have expanded this years edition of the investment dictionary by introducing several terms since our last update in 2012 that cover industry updates, as well as other terms. Stock market glossary of terms learning how and when to buy and sell stocks takes time and information.
You buy then sell then buy then sell then profit from it or lose money. A technical analysis of market sentiment, calculated by dividing the total shares sold short of a stock by its average daily trading volume. Investing on the stock market is riskier than some other investments. Slang term describing the leader, manager, chief or person in charge of an organization or a project. To understand the stock market, lets listen in on one familys breakfast conversation. Glossary of commonly used stock market terminologies.
The new york stock exchange, the american stock exchange, and the national association of securities dealers automated quotation system you hear it called nasdaq on the news. Gorilla trades is not only an online stock picking service, but it also provides subscribers. Understanding the stock market can be a daunting task for any new investor. Bear market this is trading talk for the stock market being in a down trend, or a period of falling stock prices. The guide is an important resource that will help to create a much greater understanding of. A brokerage firm is said to be an agent when it acts on behalf of the client in buying or. Beta a measurement of the relationship between the price of a stock and the movement of the whole market. The australian market place for trading in shares, bonds and other fixed interest securities. Stock market is an organized market for the purchase and sale of industrial and financial security.
The asx groups activities span primary and secondary market services, including capital formation and hedging, trading and price discovery australian securities exchange central counter party risk. The largest electronicbased stock exchange in the united states. The reason for this is that share prices rise and fall all the time as economic and market forces change. Welcome to firstrades stock trading terms glossary. Dictionary of marketing terms, second ed, edited by peter d. A method of recording a companys financial activity and arranging the information in reports that make the information understandable. This makes it so your average purchase price decreases. Free stock market dictionary ebook pdf investorzclub. Dictionary of finance and investment terms barrons business.
When experts and amateurs talk about trading stocks, they use these. Glossary of terms used in technical analysis market technicians association educational foundation concession or spread price differential between trades when blocks of stock are. Whether youre buying a house, planning a retirement or looking for a great value stock, navigating the complex world of money can be a mess of confusing. Dictionary of finance and investment terms barrons. Initial public offering, abnormal return and liquidity are just a few of the terms you will come across when you invest in the stock market. Were going to start with basic terms that most day traders will already be familiar with. So, check out this stock market glossary for some stock terms. Stock market glossary stock trading terms dictionary firstrade.
Stock market terminology as with anything else, mastering the stock market means mastering the lingo and for traders, that can be a bit confusing at first. A standard trading unit as defined in umir universal market integrity rules. Heres a glossary of stock market terms, suitable for beginners just learning how to pick stocks. The board lot size of a security on toronto stock exchange or tsx venture.