{"id":1155,"date":"2010-09-21T21:18:49","date_gmt":"2010-09-22T05:18:49","guid":{"rendered":"http:\/\/www.generalknowledgetoday.com\/?p=1155"},"modified":"2010-09-21T21:18:49","modified_gmt":"2010-09-22T05:18:49","slug":"stock-market-terms","status":"publish","type":"post","link":"https:\/\/generalknowledgetoday.com\/?p=1155","title":{"rendered":"Stock Market Terms"},"content":{"rendered":"<p><strong>Blue-Ship\u00a0 :<\/strong><br \/>\nStock of well known companies with stable business.<\/p>\n<p><strong>Bonds :<\/strong><br \/>\nBond holder is the creditor of the company and normally bonds are issues  with a minimum of 3 years time frame with specific interest rate.<\/p>\n<p><strong>Bonus Shares :<br \/>\n<\/strong>Bonus shares are shares given to share holder at no extra cost.<\/p>\n<p><strong>Book Value :<br \/>\n<\/strong>It is the value at which you carry the asset into the balance  sheet. The book value is calculated by dividing the equity reserve of  the company by the number of shares issues for the same.<\/p>\n<p><strong>Brokerage :<br \/>\n<\/strong>Brokerage is the commission charged by the broker for a  transaction which can be upto 2.5% as per SEBI.<\/p>\n<p><strong>Bull Market :<br \/>\n<\/strong>Continuous phase of rising share prices.<\/p>\n<p><strong>Buyback :<br \/>\n<\/strong>Repurchase of its own company or bonds from the holders.<\/p>\n<p><strong>Carry forward :<br \/>\n<\/strong>The process of postponement of purchase from one settlement to  other by paying a charge.<\/p>\n<p><strong>Circuit :<br \/>\n<\/strong>The limit imposed by exchanges to control the fluctuation of  share prices.<\/p>\n<p><strong>Closing price :<br \/>\n<\/strong>Last traded price of a stock.<\/p>\n<p><strong>Close Ended Funds :<br \/>\n<\/strong>Close ended funds are funds where investors can subscribe only  during the New Fund Offer (NFO) period only.<\/p>\n<p><strong>Demat trading :<br \/>\n<\/strong>Demat trading is trading of shares in electronic or  dematerialized form.<\/p>\n<p><strong>Dividend :<br \/>\n<\/strong>Dividend is the amount of <a title=\"money\" href=\"http:\/\/www.tips4trade.com\/\">money<\/a> that any company gives to  the share holders for each share held.<\/p>\n<p><strong>Equity \/ Stock \/ Share :<br \/>\n<\/strong>Representation of ownership of a company.<\/p>\n<p><strong>ETF :<br \/>\n<\/strong>Exchange Traded Fund: A mutual fund that is traded on a stock  exchange and holds a basket of securities like mutual funds. They can be  traded like a stock in trading hours of the day. Price movement is like  stock varying on a trading basis and not like Mutual Fund which is once  everyday.<\/p>\n<p><strong>Face Value :<br \/>\n<\/strong>The nominal value of share. This is the actual price of the  share. Many west countries allow the face value to be consistent and of  Re. 1 but in India we have Face value in range of Re. 1 to Rs 10.<\/p>\n<p><strong>Forward Trading :<br \/>\n<\/strong>The Scrip is traded today would be settled at future date which  can even be settled or carried forward.<\/p>\n<p><strong>IPO :<br \/>\n<\/strong>Initial public offer which refers to the first offering of  equity shares to the general public. Top 5 Indian IPO\u2019s<\/p>\n<p><strong>Nifty :<\/strong><br \/>\nNifty is the Index of National Stock Exchange.<\/p>\n<p><strong>Open Ended Funds<\/strong> :<br \/>\nInvestors can purchase and sell units even after the New Fund Offer  (NFO) period.<\/p>\n<p><strong>Open Interest :<\/strong><br \/>\nOpen interest are open contracts which refers to the total number of  contracts, that have not been settled or squared off. For each buyer  there must be a seller. So when either of the buyer or seller opens the  contract and till he does not square off the contract, it is open and  sum total of all such open contracts is called open interest.<\/p>\n<p><strong> P\/E Ratio :<\/strong><br \/>\nPrice of the stock divided by the net earning of the company.<br \/>\n<strong><\/strong><\/p>\n<p><strong> Resistance :<\/strong><br \/>\nResistance, is the point at which sellers (bears) take control of prices  and prevent them from rising higher.<\/p>\n<p><strong>SEBI :<\/strong><br \/>\nSecurities and exchange board of India.<\/p>\n<p><strong>Sensex<\/strong> :<br \/>\nSensitive Index is a value-weighted index composed of 30 stocks with the base April 1979 = 100. It consists of the 30 largest and most actively traded stocks, representative of various sectors, on the Bombay Stock Exchange. These companies account for around one-fifth of the market capitalization of the BSE.<\/p>\n<p><strong>Settlement and Settlement Date<\/strong> :<br \/>\nThe date at which transaction between users is settled by deliver of  shares.<\/p>\n<p><strong> Share Premium :<\/strong><br \/>\nPremium paid over the face value for acquiring the share in the company.<\/p>\n<p><strong> Support :<\/strong><br \/>\nSupport is a level at which bulls (i.e., buyers) take control over the  prices and prevent them from falling lower.<\/p>\n<p><strong>Undervalued Shares<\/strong> :<br \/>\nShares which are traded lower than the book value.<\/p>\n<p><strong> Volume :<\/strong><br \/>\nThe number of shares or contracts traded in a security or an entire  market during a given period of time.<\/p>\n<p><a href=\"http:\/\/www.stockmarketstoday.in\" target=\"_self\"><strong><\/strong><\/a><a href=\"http:\/\/www.stockmarketstoday.in\/\" target=\"_self\"><strong>Stockmarketstoday.in<\/strong><\/a> is a premier\u00a0 online web portal for\u00a0 stock market news,day trading  tips,bse,nse news\u00a0 in India : for more  details about <a href=\"http:\/\/www.stockmarketstoday.in\/\" target=\"_self\">stock market  and trading methods <\/a>www.stockmarketstoday.in<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Blue-Ship\u00a0 : Stock of well known companies with stable business. Bonds : Bond holder is the creditor of the company and normally bonds are issues with a minimum of 3 &hellip; <a href=\"https:\/\/generalknowledgetoday.com\/?p=1155\" class=\"more-link\">Read More<\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[59,5868,589,7294],"tags":[8667,8668,8669,8670,8671,8672,8673,8674,8675,8676,8677,8678,8679,8680,8681,8682,8683,8684,8685,8686,8687,8688,8689,570,259,8690,8691,1276,7297,8692,8693,8694,8695],"class_list":["post-1155","post","type-post","status-publish","format-standard","hentry","category-banking-terms","category-definitions","category-economy","category-stock-market","tag-blue-ship","tag-bonds","tag-bonus-shares","tag-book-value","tag-brokerage","tag-bull-market","tag-buyback","tag-carry-forward","tag-circuit","tag-close-ended-funds","tag-closing-price","tag-demat-trading","tag-dividend","tag-equity","tag-etf","tag-face-value","tag-forward-trading","tag-ipo","tag-nifty","tag-open-ended-funds","tag-open-interest","tag-pe-ratio","tag-resistance","tag-sebi","tag-sensex","tag-share","tag-share-premium","tag-stock","tag-stock-market-knowledge","tag-stock-market-knowledge-terms","tag-support","tag-undervalued-shares","tag-volume","entry"],"_links":{"self":[{"href":"https:\/\/generalknowledgetoday.com\/index.php?rest_route=\/wp\/v2\/posts\/1155","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/generalknowledgetoday.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/generalknowledgetoday.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/generalknowledgetoday.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/generalknowledgetoday.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=1155"}],"version-history":[{"count":0,"href":"https:\/\/generalknowledgetoday.com\/index.php?rest_route=\/wp\/v2\/posts\/1155\/revisions"}],"wp:attachment":[{"href":"https:\/\/generalknowledgetoday.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=1155"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/generalknowledgetoday.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=1155"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/generalknowledgetoday.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=1155"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}