Leading indicators play a pivotal role in assessing the overall health and stability of an economy by providing valuable insights into future economic trends and potential shifts in economic activity. These indicators are forward-looking metrics that...
A recovery or bull market is the inverse of a recession. This was seen in the bull market that began in 2009, signaling the end of the financial crisis and resulting in growth that saw the S& P 500 rise from 1,000 in June 2009 to 3,000 and rising...
A tick in financial markets measures the smallest possible price fluctuation for any given asset. One tick is worth a certain amount of money, which varies depending on the asset being traded (the tick size or tick value).
The ASX 200 does not represent the entire stock market, but it comes close. This is because the index accounts for approximately 80% of the total value of the Australian share market. As a result, it is frequently used as an indicator of the overall...
The liquidity level of hybrid stocks in the market tends to be lower than that of common stocks. Hybrid stocks, such as preferred shares and convertible bonds, often attract a more niche group of investors, which can reduce their trading frequency....
If you have opened and closed a position on the same day, you have engaged in day trading. A day trade is the act of buying and selling stocks during the same trading day, without holding positions overnight.
Defensive stocks are stocks that tend to perform well in times of economic downturn or market volatility. These stocks are often associated with companies that provide essential products or services that are in demand regardless of economic...
Fixed assets are long-term, tangible assets owned by a business, used in the production of goods or services, and not intended for immediate sale. They typically have a useful life exceeding one year and include items like land, buildings, machinery,...
Risk-on and risk-off sentiment are two contrasting market conditions reflecting investors' appetite for risk, often influenced by global economic factors, news events, and geopolitical developments.
Reducing variable costs can offer several benefits to a company, including increased profitability, improved cash flow, and greater flexibility to respond to changes in market conditions.