MACD (Moving Average
Convergence/
Divergence) |
The MACD is used to determine overbought or oversold
conditions in the market. The MACD line is the difference
between the long and short exponential moving averages
of the chosen item.
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| margin |
The minimum amount of money required to buy or sell
a security. The investor is using borrowed money.
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markdown
and mark-up |
A markdown is a charge subtracted from the selling
price of a security that a customer is selling to a
dealer/ broker for the broker's/dealer own account.
The broker/dealer adds a mark-up to the price when it
sells a security to a customer from its own account.
The markdown or mark-up are the equivalent of a commission
on the sale.
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| market capitalization |
The total market value of all the stock of a company.
This changes as the stock prices changes.
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| Market Maker |
A firm that maintains
a firm bid and offer price in a given security by standing
ready to buy or sell at publicly-quoted prices. |
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| Market Maker spread |
The difference between
the price at which a Market Maker is willing to buy a
security and the price at which the firm is willing to
sell it. |
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| market order |
An order to a broker
to buy or sell a security at the best price they can get
in current market conditions. |
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| market trend |
Any consistent change
in direction in prices over a period of time. |
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| market value |
The market value of
a security is the last-sale price multiplied by total
shares outstanding. It is calculated throughout the trading
day, and is related to the total value of the index. |
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| momentum |
A tendency of a stock
price, or a market average to continue a trend that has
been observed for some prior time period. |
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| moving average |
Moving averages can
be computer for different time periods. The most common
are 50 day and 200 day moving averages. A 50 day (simple)
moving average is computed by summing the last 50 days
data points and dividing by 50. |
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moving average Convergence/
Divergence (MACD) |
MACD stands for "Moving
Average Convergence/Divergence" and is a momentum indicator
useful for signalling significant trends. |