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A trade is on a downtick when the last trade occurred at a price lower than the previous one.

Stock price is heading down.

The process whereby an in-depth examination of a company’s business prospects is conducted.

A method of allocating shares in an IPO where you specify how much you’re willing to pay for how many shares.

A bond that can be exchanged for shares of stock. 

A security of an issuer (for example – bonds, debentures, or preferred shares) that may be converted into other securities of that issuer, in accordance with the terms of the conversion feature. The conversion usually occurs at the option of the holder of the securities, but it may occur at the option of the issuer.

A form of business organization created under provincial or federal laws that has a legal identity separate from its owners. The shareholders are the corporation’s owners and are liable for the debts of the corporation only up to the amount of their investment. This is known as limited liability.

This occurs when an average falls 10% or more off of its high.

Cost of materials and labor required to produce products or services. Gross profit is sales minus cost of sales. 

The interest rate on a bond.