A strategy for selecting stocks using screening criteria that have been found to work in the past.
Archives
Bid Size
The aggregate size in board lots of the most recent bid to buy a particular security.
Momentum Analysis
Usually involves looking for stocks in a strong uptrend (high relative strength), strong earnings growth, and increasing earnings forecasts. In today’s market, may include relative strength only.
Momentum Stocks
Companies currently in favor by investors (price/sales greater than 10, price/earnings greater than 35 or so).
Black Scholes Option Pricing Model
A model used to estimate the price of an option.
Lockup Period
Time after IPO, typically 180 days, when insiders are prohibited from selling their shares.
Ask or Offer
The lowest price at which someone is willing to sell the security. When combined with the bid price information, it forms the basis of a stock quote.
Ask Price
The price you are asked to pay when you buy a stock (see ‘Bid Price’).
Long Tail
A ‘long tail’ means the low for the day was well below the close. In other words, the market opened, sellers took over and pushed the index down, but then buyers came back in and ran the index back up to where it opened. The buyers had the last say on the day and showed a lot of strength moving up. That tends to show a reversal in the buying patterns and foretells a further rise from here for the short term.
Long-Term Investments
Balance sheet item reflecting investments in other companies, etc.