Ticker Tape

Each time a stock is bought and sold, it is displayed on an electronic ticker tape. It is a record of current trading activity on an exchange.

Special Terms

Orders which must trade under special conditions. For example, a cash order will be settled sooner than the usual three-day settlement period.

Stock Price Index

A statistical measure of the state of the stock market, based on the performance of certain stocks. Examples include the S&P/TSX Composite Index and the S&P/TSX Venture Composite Index.

RSI

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.

Responsible Registered Trader

The Registered Trader assigned by the Selection Committee to act as market maker in a security. Their duties include providing a minimum guaranteed fill, maintaining minimum spread and ensuring orderly trading.

Sales

Services and products sold by a company. Sales and revenues mean the same thing.

Stock Split

A corporate action that increases the number of securities issued and outstanding, without the issuer receiving any consideration for the issue. Approval by security holders is required in many jurisdictions. Each security holder gets more securities, in direct proportion to the amount of securities they own on the record date; thus, their percentage ownership of the issuer does not change. For example, a two-for-one stock split involves the issuance of two new securities for every old security.

Retractable Security

A security that features an option for the holder to require the issuer to redeem it, subject to specified terms and conditions.