What Is a Private Activity Bond (PAB)? A PAB or Private Activity Bonds are issued by local governments to attract private investments for projects with public or common utility. Private activity bonds (PAB) are tax-exempt bonds issued by or on behalf of a local or state government. There are strict […]
Investing
What is Buying Power? Buying power is the total amount of cash and equity available in a trading account that a trader can allocate to buy additional securities. It is sometimes also referred to as excess equity. Simply put, it is the money an investor has available to buy securities. […]
What Is Limited Power of Attorney (LPOA)? A limited power of attorney (LPOA) legally appoints an agent to handle specific matters when the principal is unavailable or unable to do so. For stock traders and brokers, it is an authorization that permits a portfolio manager to perform specific functions on […]
What Is a Sine Wave? A sine wave is a geometric curve with a smooth, continuous, periodic oscillation. For traders, it indicates if a market is trending or in a cyclic mode. Sine waves are used in technical analysis and stock trading to help identify patterns. As an analytical trading […]
What Is a Golden Cross? A Golden Cross is a bullish signal in a chart pattern. It happens when the short-term 50-day moving average uptrends across the long-term 200-day moving average. The golden cross is a technical stock charting pattern interpreted as a bullish signal by many analysts and traders. […]
What is a Stop Limit Order? A stop-limit order is an order to buy or sell a stock combining the features of a stop order and a limit order to help traders control risk. The order provides conditional trade instructions over a set timeframe combining the features of a stop […]