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Each province has a securities commission or administrator that oversees the provincial securities act. This act is a set of laws and regulations that set down the rules under which securities may be issued or traded in that province.

The shares or stock sold by a company to provide start-up capital before carrying out an initial public offering (IPO).

An analyst employed by a brokerage house such as Merrill Lynch.

The date when a securities buyer must pay for a purchase or a seller must deliver the securities sold. Settlement must be made on or before the third business day following the transaction date in most cases.

A paper certificate that represents the number of shares an investor owns.

The difference between the total of assets and liabilities shown on a company’s balance sheet. Book value is the shareholders equity divided by the number of outstanding shares.

The total number of shares issued by a corporation.

This is a condition resulting from selling an option and not owning the related securities.

Selling stock you don’t own. You hope it drops in price so you can buy it back later at a lower price. You must have a margin account with your broker to sell short.

This is a level where a stock has a difficult time moving through. Resistance levels can be caused by former tops, breakout prices, moving averages, or just price levels where a stock has spent a lot of time in the past. When choosing buy levels, we watch for a stock to break through resistance on good volume. That indicates the move through the resistance is strong, and that the stock will most likely stay above that resistance. In such situations, former resistance then becomes support. When we take a position coming off of support, we always look for resistance levels as points where we may encounter resistance so we do not lose gains we have banked if resistance proves too much.