Normal market conditions refer to the typical state of affairs in financial markets when there is a relative equilibrium between supply and demand for various assets, resulting in stable or predictable price movements. These conditions are...
A breakout differs from normal price fluctuations because it represents a significant move beyond a well-established support or resistance level, signalling a potential change in market direction or momentum. Normal price movements often occur within...
The American Stock Exchange (AMEX), now known as NYSE American, is one of the major stock exchanges in the United States. It has a rich history dating back to the late 18th century, making it one of the oldest exchanges in the country. The AMEX...
The main difference between active and passive mutual funds lies in how they are managed and the investment goals they pursue.
A stock exchange listing can significantly enhance a company’s ability to attract and retain top talent by increasing its visibility, credibility, and compensation flexibility. When a company becomes publicly traded, it gains a higher profile and...
A common stock is a type of security that represents ownership of a company's equity. Other terms that are synonymous with common stock include common share, ordinary share, and voting share.
The secondary market and the primary market are two distinct segments within the financial market ecosystem, each serving different functions and involving different types of transactions.
The Government National Mortgage Association (GNMA), also known as Ginnie Mae, is a U.S. government agency that operates within the Department of Housing and Urban Development (HUD). Established in 1968, GNMA is a crucial player in the...
A stock swap differs from a cash transaction in mergers and acquisitions mainly in how the acquiring company pays for the target company. In a stock swap, the buyer offers its own shares as payment instead of cash. Shareholders of the target company...
After-hours trading allows investors to react quickly to breaking news that occurs outside regular market hours, such as earnings reports, mergers, or economic announcements. Since most corporate updates are released before the market opens or after...