The specific security, commodity, index or financial instrument that an option or futures contract is traded.
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A charting term meaning the stock price is going down from here.
Tangible Book Value
Book Value minus goodwill and intangible assets.
Simple Moving Average (SMA)
This is the average stock price over a certain period of time.
Undervalued
A stock trading below its fair value.
Shares outstanding
The total number of shares issued by a corporation.
Top-Line
Sales or revenues.
Small Cap
Company with market capitalization less than $1 billion.
Short
This is a condition resulting from selling an option and not owning the related securities.
Technical Analysis
The study and use of price and volume charts and other technical indicators to make trading decisions. Technical analysis attempts to use past stock price and volume information to predict future price movements. Fundamentally, technical analysis shows in graphic form investor sentiment, both greed and fear. Understanding that concept is key to understanding technical analysis and being able to use it effectively to trade securities. With proper technical analysis, you can be ready for certain moves, and when your analysis is confirmed by the actual start of the move, trading positions can be taken. Technical analysis can be used for short-term trading or long-term position buying. We use if for both, and the two are closely related.