Relative Strength Index is an overbought/oversold indicator that attempts to predict trend reversal points. RSI is based on the observation that a stock which is advancing will tend to close nearer to the high of the day than the low. The reverse is true for declining stocks. This indicator can also be used when comparing two different equities on a relative basis. RSI’s absolute levels are 0 and 100. Buy signals are triggered at 30, and sell signals are triggered at 70. One of the important aspects of RSI is to look for divergence between price action and RSI. Upward sloping price and downward sloping RSI should be taken as a warning.
Archives
Sales
Services and products sold by a company. Sales and revenues mean the same thing.
Sales per Share
Annual sales divided by the number of shares outstanding.
Same Store Sales
Sales at retail stores or restaurants open at least one year. A chain’s same store sales growth excludes gains due to increases in the number of stores. Same store sales growth in the 5 percent to 10 percent range is considered good.
Screening
Searching the entire universe of mutual funds or stocks meeting user-specified criteria.
Seat
The traditional term for membership on a stock exchange. An investment dealer or brokerage buys a seat on the exchange and one employee is designated as the seat holder. As Toronto Stock Exchange is now demutualized, there are no longer seats on the exchange.
Secondary Offering Financing
The dollar value of secondary offering securities issued in accordance with a TSX or TSX Venture Exchange approved transaction. It is the stated prospectus price multiplied by the “number of securities issued under the offering plus the over allotment”.
Rally
A brisk rise in the general price level of the market or price of a stock.
Real-Time Quotes
Stock trading price reports that have not been artificially delayed.
Record Date
This is the date that a stock must be in your account for you to receive a dividend. The record date has nothing to do with how we trade stock splits.