Advertisement

Glossary

Settlement

Occuring a few days after trade exececution, this is the exchange process that designates when payment is made and shares are delivered.

Share Repurchase

The act of a company to buy back its own stock shares in the open market to reduce Shares Outstanding and increase Earnings Per Share, which ultimately seeks to drive the stock price higher.

Shareholder

An individual which owns shares of ownership in a company.

Sharpe Ratio

A technical formula designed by William F. Sharpe that calculates the average return minus the risk-free return, divided by the standard deviation of the return, on an investment.

Shooting Star

A Candlestick bar chart price pattern indicating a reversal, identified by a short black body with a long wick upwards.

Short Covering

The action of a trader to buy securities that they previously sold short, in order to close the position.

Short Sell

A trading strategy of selling a borrowed security with a purpose of re-purchasing at a lower price for profit. This is the opposite of entering a Long position.

SIGN UP TO NEWSLETTER

Join our mailing list to receive the latest news and updates from our team.