What is Microcap? The term “microcap,” also known as micro-cap, is generally used for companies with a low market capitalization, usually ranging between $50 million and $300 million. Market capitalization is the product of a company’s share price and its outstanding shares, and it changes daily. Microcap stocks can either be newly listed companies with...
What is Market Index? Market index refers to a portfolio of securities that represent a particular section of the stock market. The securities that are part of a particular index often come with certain characteristics. What is Index Methodology? Index methodology is a hypothetical portfolio that derives its value from the values of its underlying...
What is Market Exposure? Market exposure refers to the absolute amount of funds or the percentage of a portfolio that is invested in a given security, or a bundle of securities that are part of the same industry or market sector. It is usually expressed in the form of a percentage of the total securities...
What is Market Breadth? Market breadth refers to a set of technical indicators that evaluate the price advancement and decline of a given stock index. Market breadth represents the total number of stocks that are increasing in prices as opposed to the number of stocks that are undergoing a decline in their prices. The stocks...
What is Market Cycle? Market cycle refers to economic trends observed during different types of business environments. It is also known as a stock market cycle, wherein a given security, or multiple securities belonging to the same class of assets, perform better than others. It can be because the prevailing market conditions may be suitable...