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Support levels are levels where a declining stock will find bottom and bounce up from. Supports are formed when a stock breaks above resistance and holds above that level: the old resistance then becomes support. Support levels are also formed when a stock spends a lot of time at one level and then breaks upward. The level that the stock spent most of the time at will most likely act as support. Key moving averages, such as the 18, 50, and 200, also act as support. We like to buy stocks as they bounce upward off of support levels and are backed by good money flow and buying.

Difference between reported earnings and analysts’ consensus forecasts. It’s a positive surprise if reported earnings exceed forecasts, and a negative surprise when reported earnings come in below forecasts.

Transferable certificates of ownership of investment products such as notes, bonds, stocks, futures contracts and options.

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.