Fundamental Stock Market Terms Flashcards
1
Q
Buy
A
To buy shares in a stock.
2
Q
Sell
A
To sell shares in a stock.
3
Q
Short sell
A
To sell shares that you do not currently own
4
Q
Buy to cover
A
To close out your short position by buying the shares
5
Q
Bid
A
The greatest price someone else is willing to pay for a stock
6
Q
Ask
A
The asking price (from the seller) for a share of stock
7
Q
Spread
A
The difference between the bid and the ask prices
8
Q
Uptick
A
A situation where a subsequent trade is at a higher price than the previous one
9
Q
Downtick
A
Subsequent trade is at a lower price than the previous one