Head-Fake Trade
What is a Head-Fake Trade? A head-fake trade occurs when the price of a security or other traded financial asset moves in a specific direction and then quickly reverses to follow the opposite direction. The term “head-fake” is common in sports (particularly football and basketball) and derived from a tactic used by teams in sports...
SEC Yield
What is SEC Yield? The SEC yield, also referred to as the standardized yield, is a computation that allows comparison of bond funds that fall under the jurisdiction of the Securities and Exchange Commission (SEC). It assumes that an investor holds each bond in a portfolio to maturity, the SEC yield is used to estimate...
Retired Shares
What are Retired Shares? Retired shares are shares that are repurchased and canceled by a company. They don’t possess any financial value and are void of ownership in the company. Understanding Retired Shares Companies issue shares to raise money and expand business operations. Subsequently, companies can choose to buy back shares from the market for...
National Market System (NMS)
What is the National Market System (NMS)? The National Market System (NMS) is a regulatory mechanism that governs the operations of securities trading in the United States. It covers all entities and facilities, both public and private, that are involved in the buying and selling of stocks. It includes stock exchanges, trade clearinghouses, and market...
Average Daily Trading Volume (ADTV)
What is the Average Daily Trading Volume (ADTV)? Average Daily Trading Volume (ADTV) is a technical indicator used by investors that refers to the number of shares of a particular stock that, on average, change hands during a single trading day. The average daily trading volume can be calculated for any span of time –...
