Bracket order

A Bracket Order is an intraday trading strategy that helps traders limit losses and lock in profits by placing three orders simultaneously: a buy or sell order, a target order to book profits, and a stop-loss order to limit potential losses. To learn more, click here

Related Terms

Bounce

A Bounce occurs when a stock hits a support level, where its price resists further decline, and then sharply rebounds upward. This support can be represented by a trend line, moving average, or a combination of technical indicators, signaling a potential price reversal.

Book Building

Book Building is a price discovery method used during an IPO, where the company issuing shares does not fix a specific price. Instead, an underwriter invites institutional investors to submit bids within a price range, which helps determine the final issue price based on demand. To learn more, click here

Bonds

Bonds are fixed-income securities issued by governments or corporations in exchange for a loan. They provide a fixed interest rate over a specified time period. The quality of a bond is determined by its credit rating, reflecting the issuer’s creditworthiness. To learn more, click here

Broker

A Broker is an intermediary between investors and securities exchanges, facilitating the buying and selling of stocks, ETFs, futures, and options. Only registered brokers, whether individuals or firms, can place trades on exchanges, making them essential for investors to access financial markets.

Brokerage

Brokerage refers to the fee an investor or trader pays to a brokerage firm for its services, varying by platform. Generally, brokerage fees for intraday, futures, and options trading are higher than for equity delivery transactions, which involve long-term investing.

Budget

A budget refers to a financial plan that outlines how an individual or organization allocates funds for spending and managing expenses. In macroeconomics, it represents the trade-offs made in the exchange of goods, helping to track income and expenditures effectively.

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