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Comonly Used Terms in Stock Market

The stock market too has its own set of unique phrases and jargon. And if you wish to invest in the market, it is necessary that you are comfortable with the different terms.<br>This presentation will give you a better understanding of the terms used in the stock market(https://www.edelweiss.in/market).<br>

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Comonly Used Terms in Stock Market

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  1. Commonly Used Terms in Stock Market

  2. Introduction Have you ever encountered the following words and phrases: bird dog, barrel roll, panic rack, five by five and touchdown? Well, if you don’t belong to the aviation industry, you shouldn’t be worried. These terms are commonly used by pilots and aviation enthusiasts. Likewise, the stock market too has its own set of unique phrases and jargon. And if you wish to invest in the market, it is necessary that you are comfortable with the different terms.

  3. Commonly Used Terms in Stock Market Bull market: When the stock market as a whole is on the rise for a sustained period of time, it is called as a bull market. Bear market: Bear market reflects a prolonged fall in prices of stocks on a consistent basis. Face value: When a company issues shares, each share has a face value. This refers to the value of the stock at the time of issuance Bonus shares: As the word indicates, bonus shares are extra or additional shares that a company gives to its shareholders. And yes, they come at no additional cost. Trend: The general direction in which the stock market (or even an individual share) moves is known as trend.

  4. Commonly Used Terms in Stock Market Dividend:Dividend is the amount of money a company pays to its shareholders out of its profits. Assets: Everything that a company owns on its name are assets Face value: When a company issues shares, each share has a face value. This refers to the value of the stock at the time of issuance Diversification: Diversification refers to buying stocks of different companies in different sectors Index: A stock market index is a statistical measure that reflects the changes in the stock market. BSE Sensex and NSE Nifty are the two most widely used stock indices in India. You can check the Nifty today on your broker’s website.

  5. Conclusion Knowing these terms can be a great help in your investment journey. They may not make you a better investor but they can surely de-jargonise the investment world and make it easier to understand. So the next time somebody says ‘market breadth’, you know exactly what the term is. You can check out the Nifty today and start investing in the stock market on your broker’s website.

  6. THANK YOU

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