A technical indicator developed by Tushar Chande to numerically identify trends in candlestick charting. It is calculated by taking an 'n' period moving average of the difference between the open and closing prices. A Qstick value greater than zero means that the majority of the last 'n' days have been up, indicating that buying pressure has been increasing. Transaction signals come from when the Qstick indicator crosses through the zero line. Crossing above zero is used as the entry signal because it is indicating that buying pressure is increasing, while sell signals come from the indicator crossing down through zero. In addition, an 'n' period moving average of the Qstick values can be drawn to act as a signal line. Transaction signals are then generated when the Qstick value crosses through the trigger line.
The price at which a stock or market can trade, but not exceed, for a certain period of time. Often referred to as "resistance level". The stock or market stops rising because sellers start to outnumber buyers.
A comprehensive report of a company's performance that must be submitted quarterly by all public companies to the Securities and Exchange Commission. In the 10-Q, firms are required to disclose relevant information regarding their financial position. The form must be submitted on time, and the information should be available to all interested parties. Taobiz explains SEC Form 10-Q The 10-Q is due 35 days (it used to be 45 days) after each of the first three fiscal quarters. There is no filing after the fourth quarter because that is when the 10-K is filed. 10-K = Yearly 10-Q = Quarterly
A type of chart, developed by the Japanese, that is only concerned with price movement; time and volume are not included. It is thought to be named for the Japanese word for bricks, "renga". A renko chart is constructed by placing a brick in the next column once the price surpasses the top or bottom of the previous brick by a predefined amount. White bricks are used when the direction of the trend is up, while black bricks are used when the trend is down. This type of chart is very effective for traders to identify key support/resistance levels. Transaction signals are generated when the direction of the trend changes and the bricks alternate colors. For example, a trader will sell an underlying asset when a black brick is placed at the end of series of climbing white bricks. Since this type of chart was designed as a way to follow the general price trend of an asset, there can often be false signals where the color of the bricks changes too early, producing a whip-saw effect.
A simplified security registration form from the SEC, open to use by companies that have met prior reporting requirements. The Form S-3 registers securities under the Securities Act of 1933 for companies that are based in the United States only. Companies seeking to use the S-3 must have met all reporting requirements listed under sections 12 or 15(d) of the Securities Exchange Act of 1934, which assumes that the company seeking registration already has some form of security filed with the SEC. The filing of a Form S-3 may occur in advance of an initial public offering (IPO) of common stock. Form S-3 is also known as the "Registration Statement Under the Securities Exchange Act of 1933". Taobiz explains SEC Form S-3 Form S-3 is typically filed in conjunction with a common stock or preferred stock offering. Other requirements for the form's use are that the company has met all dividend and debt requirements in the 12 months prior to the filing date on the form. The Securities Exchange Act of 1933, often referred to as the "truth in securities" law, requires that these registration forms, which provide essential facts, are filed to disclose important information upon registration of a company's securities. This helps the SEC achieve the objectives of this act - requiring investors to receive significant information regarding securities offered, and to prohibit fraud in the sale of the offered securities.
The component of a candlestick chart that represents a downward movement in the underlying price. A red candlestick is composed of the period's high, low, opening and closing prices. If the closing price is lower than the day's opening price, then the body of the candle is red or black. Also known as a "black candlestick" or a "closed candlestick". Charts are primarily used in technical analysis. A red candle quickly conveys a downward movement as well as the range of the price for the day. The longer the candle, the greater the price movement. Most charting software will allow you to change the colors of these candles. Even though red and black are common colors for this type of candlestick, any color can be used.
In candlestick charting this is the wide part of a candle that represents the range between the opening and the closing prices over a specific time period. When the real body of a candle is black or shaded red, it means the close was lower than the open; if the real body is empty or colored green, it means the close was higher than the open.
The action of a mutual fund or portfolio manager shifting investment assets from one sector of the economy to another. Taobiz explains Sector Rotation Not all sectors of the economy perform well at the same time. Sector rotation is a portfolio manager's attempt to profit through timing a particular economic cycle.