A false signal which indicates that the rising trend of a stock or index has reversed when in fact it has not.
Archives
Best-Efforts Underwriting
A type of underwriting where the investment firm acts as an agent. The firm agrees to use its best efforts to sell the new issue of securities, but does not guarantee the issuing company that the securities to be issued will be sold.
Better-Price-Limit Orders
An order with a limit price better than the best price on the opposite side of the market. A better-priced buy order has a limit price higher than the best offering. A better-priced sell order has a limit price lower than the best bid. These are available only at the opening.
Bid
The highest price a buyer is willing to pay for a stock. When combined with the ask price information, it forms the basis of a stock quote.
Bid Size
The aggregate size in board lots of the most recent bid to buy a particular security.
Black Scholes Option Pricing Model
A model used to estimate the price of an option.
Black-Scholes Model
A mathematical model used to calculate the theoretical price of an option.
Block Trade
A single purchase or sale of a stock involving 10,000 or more shares.
Blue Chip Stocks
Stocks of leading and nationally known companies that offer a record of continuous dividend payments and other strong investment qualities.
At-The-Open
This is a stock’s trading price when a stock begins trading for the day. It may gap up, gap down, or open where it closed the previous session. Where a stock opens can be deceptive, especially if the stock gaps up or down significantly from the closing price.