The strike price, also known as the exercise price, is the predetermined price at which the owner of an option can buy or sell the underlying asset before or at the expiration date.
The third market involves non-exchange-member broker-dealers and institutional investors trading exchange-listed securities over the counter (OTC).
A ticker symbol is a unique series of letters assigned to a security or company for trading purposes on a stock exchange. Ticker symbols provide a simplified way to quickly identify and interact with company stocks.
A tight market refers to a marketplace characterized by active trading and narrow bid-offer price spreads. This is in contrast to a slack market, which features inactive trading and wide spreads.
The Tokyo Stock Exchange (TSE) is the largest stock exchange in Japan and among the largest, most important, and most active stock markets globally. Transitioning from a continuous auction market to a fully computerized system, the TSE operates without a physical trading floor.
The principal stock exchange of Japan, the Tokyo Stock Exchange (TSE), is a major global exchange and currently the third-largest in the world by market capitalization. The TSE is well-known for its efficiency and modern electronic trading platforms.
An investment strategy or approach where the investor focuses on macroeconomic factors before identifying specific industries and individual companies that are likely to benefit from those broader trends.
The Toronto Stock Exchange (TSE) is the largest stock exchange in Canada, listing around 1,200 company stocks and offering 33 options. The exchange employs both open outcry and Computer Assisted Trading System (CATS) for its operations.
Trading authorization is a document giving a brokerage firm employee acting as an agent (broker) the power of attorney to buy and sell transactions for a customer.
A trading post is a physical location on a stock exchange floor where specific securities are bought and sold. It serves as a focal point for the activities of market makers, brokers, and traders.
A treasurer is a key financial executive responsible for managing the financial assets and liabilities of an organization, ensuring sound financial practices, and maintaining strategic relationships with financial markets.
A Trend Line is a line drawn over pivot highs or under pivot lows to show the prevailing direction of price. Trend lines are a visual representation of support and resistance in any timeframe and are used by technical analysts to chart the past direction of a security or commodity future. By identifying these trends, analysts can make informed predictions about future price movements.
The difference between the amount paid to an issuer of securities in a primary distribution and the public offering price. It varies based on issue size, issuer's financial strength, security type, security status, and investment bankers' commitments.
Unwinding a trade involves reversing a securities transaction through an offsetting transaction, typically to close out a position by selling or buying back the corresponding amounts of the security originally traded.
An uptick indicates that the latest trade in a stock is at a higher price than the previous trade. A zero-plus tick is a trade at the last price with the preceding different price registered as an uptick.
Vanilla finance, also known as plain vanilla finance, refers to basic, standard financial instruments or products that lack any complex features or special conditions. These products are straightforward and easy to understand.
In finance and economics, the term 'volatile' refers to the tendency for rapid and extreme fluctuations in the price of a particular asset such as stocks, bonds, or commodities. Market-related volatility in stocks is typically measured by the Beta Coefficient.
Wall Street is synonymous with the financial markets and institutions of New York, housing the New York Stock Exchange and being the hub of major financial activities in the United States.
The term 'When Issued' (WI) refers to a transaction made conditionally on the basis that a security, although authorized, has not yet been issued or made available for trading.
Whipsawed refers to a situation in financial markets when a trader experiences rapid and significant price changes that lead to losses. Specifically, the trader buys just before the prices start to decline and sells just before they begin to rise. It is commonly associated with high volatility and unexpected market movements.
A wire house is a national or international brokerage firm whose branch offices are linked by a communications system that allows for the rapid dissemination of prices, information, and research related to financial markets and individual securities.
A writer in the context of finance is a person who sells option contracts, including both put and call options, in various financial markets.
