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Retracement (finance)
Retracement in finance is a complete or partial reversal of the price of a security or a derivative from its current trend, thereby creating a temporary counter-trend. Not to be confused with Fibonacci Retracement, market correction A market correction is a rapid change in the nominal price of a commodity, after a barrier to free trade has been removed and the free market establishes a new equilibrium price. It may also refer to several of these single-commodity corrections '' ... and/or market reversal, which are the most popular types of retracements. References As used by journalists: *http://www.marketwatch.com/story/trust-the-streak-this-is-more-than-just-some-bear-market-rally-2016-03-21 *http://www.chicagotribune.com/news/sns-wp-blm-currency-comment-8c2c2374-f0ff-11e5-a2a3-d4e9697917d1-20160323-story.html *https://www.cnbc.com/2016/03/21/is-the-pain-trade-still-higher.html {{finance-stub Financial markets ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Finance
Finance is the study and discipline of money, currency and capital assets. It is related to, but not synonymous with economics, the study of production, distribution, and consumption of money, assets, goods and services (the discipline of financial economics bridges the two). Finance activities take place in financial systems at various scopes, thus the field can be roughly divided into personal, corporate, and public finance. In a financial system, assets are bought, sold, or traded as financial instruments, such as currencies, loans, bonds, shares, stocks, options, futures, etc. Assets can also be banked, invested, and insured to maximize value and minimize loss. In practice, risks are always present in any financial action and entities. A broad range of subfields within finance exist due to its wide scope. Asset, money, risk and investment management aim to maximize value and minimize volatility. Financial analysis is viability, stability, and profitability asse ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Stock
In finance, stock (also capital stock) consists of all the shares by which ownership of a corporation or company is divided.Longman Business English Dictionary: "stock - ''especially AmE'' one of the shares into which ownership of a company is divided, or these shares considered together" "When a company issues shares or stocks ''especially AmE'', it makes them available for people to buy for the first time." (Especially in American English, the word "stocks" is also used to refer to shares.) A single share of the stock means fractional ownership of the corporation in proportion to the total number of shares. This typically entitles the shareholder (stockholder) to that fraction of the company's earnings, proceeds from liquidation of assets (after discharge of all senior claims such as secured and unsecured debt), or voting power, often dividing these up in proportion to the amount of money each stockholder has invested. Not all stock is necessarily equal, as certain classe ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Derivative (finance)
In finance, a derivative is a contract that ''derives'' its value from the performance of an underlying entity. This underlying entity can be an asset, index, or interest rate, and is often simply called the "underlying". Derivatives can be used for a number of purposes, including insuring against price movements ( hedging), increasing exposure to price movements for speculation, or getting access to otherwise hard-to-trade assets or markets. Some of the more common derivatives include forwards, futures, options, swaps, and variations of these such as synthetic collateralized debt obligations and credit default swaps. Most derivatives are traded over-the-counter (off-exchange) or on an exchange such as the Chicago Mercantile Exchange, while most insurance contracts have developed into a separate industry. In the United States, after the financial crisis of 2007–2009, there has been increased pressure to move derivatives to trade on exchanges. Derivatives are one of the ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Market Trend
A market trend is a perceived tendency of financial markets to move in a particular direction over time. Analysts classify these trends as ''secular'' for long time-frames, ''primary'' for medium time-frames, and ''secondary'' for short time-frames. Traders attempt to identify market trends using technical analysis, a framework which characterizes market trends as predictable price tendencies within the market when price reaches support and resistance levels, varying over time. A market trend can only be determined in hindsight, since at any time prices in the future are not known. Market terminology The terms "bull market" and "bear market" describe upward and downward market trends, respectively, and can be used to describe either the market as a whole or specific sectors and securities. The terms come from London's Exchange Alley in the early 18th century, where traders who engaged in naked short selling were called "bear-skin jobbers" because they sold a bear's skin (the s ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Fibonacci Retracement
In finance, Fibonacci retracement is a method of technical analysis for determining support and resistance levels. It is named after the Fibonacci sequence of numbers, whose ratios provide price levels to which markets tend to retrace a portion of a move, before a trend continues in the original direction. A Fibonacci retracement forecast is created by taking two extreme points on a chart and dividing the vertical distance by Fibonacci ratios. 0% is considered to be the start of the retracement, while 100% is a complete reversal to the original price before the move. Horizontal lines are drawn in the chart for these price levels to provide support and resistance levels. Common levels are 23.6%, 38.2%, 50%, and 61.8%. The significance of such levels, however, could not be confirmed by examining the data. Arthur Merrill in ''Filtered Waves'' determined there is no reliably standard retracement. The appearance of retracement can be ascribed to price volatility as described by B ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Market Correction
A market correction is a rapid change in the nominal price of a commodity, after a barrier to free trade has been removed and the free market establishes a new equilibrium price. It may also refer to several of these single-commodity corrections ''en masse'', as a collective effect over several markets concurrently. Stock market correction A stock market correction refers to a 10% pullback in the value of a stock index. Corrections end once stocks attain new highs. Stock market corrections are typically measured retrospectively from recent highs to their lowest closing price. The recovery period can be measured from the lowest closing price to new highs, to recovery. Gains of 10% from the low is an alternative definition of the exit of a correction. Declines of 20% or more are classified as a bear market. See also * Market trend * Real estate bubble of 1796–1797 * Financial Bubble of 1837 * United States housing market correction * United States housing bubble The ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Market Reversal
Market Reversal in Finance is a type of a price retracement in which the value completely goes back to the beginning of the measured trading period. One of the worst market reversals in global finance is the bull rally from 2003 which peaked in 2007 and collapsed which is now popularly known as The Great Recession The Great Recession was a period of marked general decline, i.e. a recession, observed in national economies globally that occurred from late 2007 into 2009. The scale and timing of the recession varied from country to country (see map). At t .... References As used by journalists: *https://www.wsj.com/articles/what-is-a-reversal-vs-correction-1452482743 *https://www.cnbc.com/2016/01/20/why-the-wild-market-reversal.html *http://www.nasdaq.com/article/5-possible-indicators-of-a-market-reversal-cm608229 *http://money.cnn.com/2016/06/27/investing/brexit-consequences-2-trillion-lost/ {{finance-stub Financial markets ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
