What Is a Bullish Harami? A bullish harami is a simple candlestick chart pattern that indicates the reversal of a bearish trend in an asset or market. A smaller body on the next candle must close higher within the body of the previous day’s candle to form a bullish harami. […]
Trading Basics
What is a Dead Cat Bounce when Investing? A dead cat bounce is an investment phrase. It refers to a brief increase in the price of a stock or other asset amid a lengthy period of decline. The name derives from the concept that even a dead cat will bounce […]
What Is an Unrealized Gain? An unrealized gain represents the day-to-day increases (or decreases) in an asset’s value, such as a stock. However, until the stock is sold for cash, the gain remains unrealized. As a result, an unrealized gain is often referred to as a paper profit. Conversely, an […]
What Are Weekly Options? Weekly options function exactly like monthly options, with the exception that they only exist for eight days. They are released every Thursday and expire eight days later on Friday with adjustments for holidays. Previously, investors could choose from 12 monthly expirations on the third Friday of […]
What Is an Option Premium? An option premium is the market price an investor must pay to purchase an options contract from a seller or writer. In other words, it is the amount paid by an option buyer to an option seller for an option contract. An option contract is […]
What Is a Bear Trap Stock When Trading & Investing? A bear trap stock is a downward share price that lures investors to sell short but then sharply reverses with the price moving positively. In general, a bear trap is a technical trading pattern. It happens when the price movement […]