Arbitrage

What Does Arbitrage Mean? The simultaneous purchase and sale of an asset in order to profit from a difference in the price. It is a trade that profits by exploiting price differences of identical or similar financial instruments, on different markets or in different forms. Arbitrage exists as a result of market inefficiencies; it provides a mechanism to ensure prices do not deviate substantially from fair value for long periods of time.

Investopedia explains Arbitrage Given the advancement in technology it has become extremely difficult to profit from mispricing in the market. Many traders have computerized trading systems set to monitor fluctuations in similar financial instruments. Any inefficient pricing setups are usually acted upon quickly and the opportunity is often eliminated in a matter of seconds.

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Bear

Market
What Does Bear Market Mean? A market condition in which the prices of securities are falling, and widespread pessimism causes the negative sentiment to be self-sustaining. As investors anticipate losses in a bear market and selling continues, pessimism only grows. Although figures can vary, for many, a downturn of 20% or more in multiple broad market indexes, such as the Dow Jones Industrial Average (DJIA) or Standard & Poor's 500 Index (S&P 500), over at least a two-month period, is considered an entry into a bear market.

Watch: Market Mentalities: Bulls Vs. Bears

Investopedia explains Bear Market A bear market should not be confused with a correction, which is a short-term trend that has a duration of less than two months. While corrections are often a great place for a value investor to find an entry point, bear markets rarely provide great entry points, as timing the bottom is very difficult to do. Fighting back can be extremely dangerous because it is quite difficult for an investor to make stellar gains during a bear market unless he or she is a short seller. Read more: http://www.investopedia.com/terms/b/bearmarket.asp#ixzz1VJFNB7qy

Blue-Chip Stock
What Does Blue-Chip Stock Mean? Stock of a well-established and financially sound company that has demonstrated its ability to pay dividends in both good and bad times.

Investopedia explains Blue-Chip Stock These stocks are usually less risky than other stocks. The stock price of a blue chip usually closely follows the S&P 500.

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Clearing House
What Does Clearing House Mean? An agency or separate corporation of a futures exchange responsible for settling trading accounts,clearing trades, collecting and maintaining margin monies, regulating delivery and reporting trading data. Clearing houses act as third parties to all futures and options contracts - as a buyer to everyclearing member seller and a seller to every clearing member buyer.

Investopedia explains Clearing House Each futures exchange has its own clearing house. All members of an exchange are required to clear their trades through the clearing house at the end of each trading session and to deposit with the clearing house a sum of money (based on clearinghouse margin requirements) sufficient to cover the member's debit balance. For example, if a member broker reports to the clearing house at the end of the day total purchase of 100,000 bushels of May wheat and total sales of 50,000 bushels of May wheat, he would be net long 50,000 bushels of May wheat. Assuming that this is the broker's only position in futures and that the clearing house margin is six cents per bushel, this would mean the broker would be required to have $3,000 on deposit with the clearing house. Because all members are required to clear their trades through the clearing house and must maintain sufficient funds to cover their debit balances, the clearing house is responsible to all members for the fulfillment of the contracts.

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at best
Definition
An instruction to a broker or dealer to get the best price or rate that he/she is able to at that time.

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Trading volume, sometimes simply referred to as volume, refers to the number of shares or contracts of a security traded during a defined time period. Most commonly, trading volumeis measured daily, but depending on the security that is being traded, volume may be measured on longer timelines such as a week or a month. For example, if Investor Bob has purchased 5,000 shares of stock from XYZ Corporation, he has increased XYZ's volume by 5,000 for the day. If Investor Bob would have sold 5,000 shares of XYZ Corporation, he would have also increased their volume by 5,000 for the day.

Fill or Kill
An order to a broker to buy or sell a security or derivative, usually in large quantities, in which investors have a short period of time to partially or completely fulfill the order before it is cancelled. An FOK may be considered the opposite of a good 'til cancelled (GTC) order; it differs from an immediate or cancel (IOC) order because an IOC may only be partially filled, while an FOK must be entirely filled or the whole offer is void. An FOK is considered a type of day order, but has a much shorter time frame. See also: All-or-None Offering.

Jobber
From Wikipedia, the free encyclopedia
Look up jobber in Wiktionary, the free dictionary.

Jobber may refer to: A being or tool that "jobs", pecks, or stabs, such as:

    

Jobber, a length of drill bit Nut-jobber, a nuthatchWebster-Dictionary.net Tree-jobber or wood-jobber, a woodpeckerWebster-Dictionary.net

A brand of printing press by Golding & Company A person or corporation that engages in job production

A professional wrestler who routinely loses a match (see Job (professional wrestling))

Kerb Dealings
What s Share Demat Account Stock Option Premium Issue Bull Market Stock Broker Trading Investing Trading Plan Stock Market Myths Investment Types Technical Analysis Investment Definition What r Dividends Day Trading Concept Primary/Secondary Market Do's & Don'ts 4 Intraday Stock Market Working Stock Buy Price Fall Investing & Saving Online Stock Trading Stock Market Tips Stock Exchange Holidays

Transactions done among members after th closing f official trading hours.

Options Concept Equity Options Strategy Index Options Strategy Futures Concept Basics Of Short Selling Stock Trading Tutorial Mutual Fund Tutorial Glossary

Limit Orders
A limit order is an order to buy or sell a stock at a specific price or better. A buy limit order can only be executed at the limit price or lower, and a sell limit order can only be executed at the limit price or higher. A limit order is not guaranteed to execute. A limit order can only be filled if the stocks market price reaches the limit price. While limit orders do not guarantee execution, they help ensure that an investor does not pay more than a predetermined price for a stock. To understand where and how an order you place with your broker is executed, you should read Trade Execution: What Every Investor Should Know. For more information on the different types of orders you can place when you buy or sell a stock, please read our investor bulletin Trading Basics.

http://www.sec.gov/answers/limit.htm   
One who performs odd jobs or piece work Jobbing house (or jobbing center, or jobber), a type of wholesale business

  

Jobber (fuel), a middleman in the fuel industry Stockjobber, a dealer in financial securities

Market Order
What Does Market Order Mean? An order that an investor makes through a broker or brokerage service to buy or sell an investment immediately at the best available current price. A market order is the default option

 

and is likely to be executed because it does not contain restrictions on the buy/sell price or the timeframe in which the order can be executed. A market order is also sometimes referred to as an "unrestricted order."

  

Investopedia explains Market Order A market order guarantees execution, and it often has low commissions due to the minimal work brokers need to do. Be wary of using market orders on stocks with a low average daily volume: in such market conditions the ask price can be a lot higher than the current market price (resulting in a large spread). In other words, you may end up paying a whole lot more than you originally anticipated! It is much safer to use a market order on high-volume stocks.

 Read more: http://www.investopedia.com/terms/m/marketorder.asp#ixzz1VJO5FMkA

Market On Close - MOC

What Does Market On Close - MOC Mean? A market order to be executed as near to the end of the exchange day as possible. Also known as an "atthe-close order."

Investopedia explains Market On Close - MOC This is an order entered sometime during the day that grants discretionary power to the trader, so that, as near as possible to the end of the trading day, a market order will be executed.  Read more: http://www.investopedia.com/terms/m/marketonclose.asp#ixzz1VJOcW1en