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. […]
Trading Terms
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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 […]
What Is a Troy Ounce? A Troy ounce is a unit of weight based on the troy system of weights and measures. It is most commonly used for weighing precious metals. It is different from metric or Imperial weights and dates back to the middle ages. According to the Royal […]
TERP – What Is the Theoretical Ex-rights Price? TERP is the Theoretical Ex-rights Price of a company’s shares following a rights issue. It is usually calculated as the weighted average price of the combined existing and new company shares. A rights issue happens when a company issues new shares for […]