What's
going on here? The glossary is usually at the rear of
most books!
Well guess what. I've decided to be different. Before
we get into actually
picking stocks and discussing trading strategies, it just
seems logical that
you should understand what all the major terms mean.
Read the definition for every term listed "now",
not later! I've listed the
basic terms that are common to everyday trading activity.
Refer To The Stock Market Glossary As Needed
Account A
brokerage firm's record of your transactions.
Asked Price
The lowest price
you can expect to purchase a security.
Annual Report
This is the yearly
financial statement that shows the
corporation's financial condition.
At The Market
An order placed by
an individual instructing a broker to
buy or sell a security at the current trading price.
Bid Price The
highest price at which a individual can expect to sell
a
security.
Bear A
individual who believes the market will decline.
Bull A
individual who believes the market will rise.
Block Trade
A trade of 10,000
or more shares of stock.
Book Value The
total assets of a company minus liabilities and shares
of preferred stock.
Broker Someone
who acts as an agent in the buying and selling of
securities.
Bond A
promissory note of a corporation.