Ratio

rationality Definition Mental state of a rational person characterized by (1) beliefs that are coherent (not contradictory) and compatible with the person's experience within a given context, ...

Ratio Spread, Definition This strategy, which applies to both puts and calls, involves buying or selling options at one strike price in greater number than those bought or sold at another strike price.

Rationality Key 2: Remember that Money is a Means, not an End unto Itself Money exists solely to serve a purpose. All of the effort you put into selecting stocks and bonds is simply so you can have a better life for yourself and your family.

Fides et Ratio / On the Relationship between Faith and Reason See Details & Teaching Fractions And Ratios For Understanding: Essential Content Knowledge And Instructional...

P/E Ratio Also known as the P/E multiple, this is the latest closing price divided by the latest 12 months' earnings per share. P/E is perhaps the single most widely used factor in assessing whether a stock is pricey or cheap.

Ratio Call Spread Option, Call Option, Put Option, Option Buyer, Option Seller, Puts and Calls In-the-money, At-the-money, Out-of-the-money Delta The option strike price Time Value Decay ...

Rational expectations The idea that people rationally anticipate the future and respond today to what they see ahead. This concept was pioneered by Nobel Laureate, Robert E. Lucas, Jr. For more information on this topic, try:- ...

The ratio is considered to be an accurate gauge of the current level of desirability for the issue involved in the auction.

The Ratio increased dramatically when the S&P 500 began making new highs in 1990. However, as the S&P has continued to move on to new highs, the Ratio has failed to reach new highs. This implies that the S&P 500 is weaker than it appears. Calculation ...

This ratio also gives some idea of whether an investor is paying too much for what would be left if the company went bankrupt immediately.

This ratio is derived from the Volatility Ratio introduced by Jack Schwager in Technical Analysis to identify wide-ranging days. Wide ranging days are signaled by a Volatility Ratio greater than 2.0.

Price Ratio (Relative Strength) The Price Ratio (or relative strength - comparative) serves a similar purpose to Price Comparison - it compares the performance of one stock relative to another (or to an index).

Pay Out Ratio Dividend pay out ratio - The portion of net income that is paid to the investors as dividends. Growth stocks will have a pay out ratio of 0 because all of their income gets put back into the company.

Current ratio is calculated be dividing current assets (cash, inventory, receivables) by current liabilities (debt and payables).

Call/Put Ratio This indicator is calculated by dividing the daily or weekly volume of call options by the daily or weekly volume of put options. Big call volume appears at market tops and big put volume at bottoms.

Expected Ratio The alerts server often compares a stock to the futures or another stock. Based on historical data, some stocks typically move up and down at the same time as the futures. However, they don't always move the same amount.

Bull Bear Ratio Formula Interpreting the Bull/Bear Ratio There is a a saying on Wall Street that in order to make money in the stock market, you must go against the crowd. Well, experts are not excused from this old adage.

Cash Flow Ratios - Measuring The Flow In many cases, cash flow ratios signify a more accurate measurement of a stock's value than the price to earnings ratio, P/E.

A "Success Ratio" of 50% means that only half of the trades performed within a giving investment strategy resulted in net positive yield. Can't find an answer to your question? Ask us and will answer shortly. Your Name ...

The Bull/Bear Ratio is a weekly vote by investment professionals, published by Investor's Intelligence magazine.

New Highs/Lows Ratio (NYHL) The NYHL measures the daily ratio between the number of stocks that approach new 52-week highs to the number that reach 52-week lows.

Price Earnings Ratio Price/earnings ration (P/E) is a division of a company's market price over earnings per share. It is an indication of two important factors, the market price and earnings, and displayed in a relationship to each other.

A company's P/E ratio is computed by dividing the current market price of one share of a company's stock by that company's per-share earnings.

The Derivation of Rational Sign Predictions Given the nature of technical analysis, i.e. mainly predicting the direction of future exchange rate changes, we derive sign predictions on the basis of the above rational learning process4.

MetaStock Formula - Fibonacci Ratios and Momentum In MetaStock for Windows, ...

Bollinger Bands - Fibonacci Ratios Overview The Fibonacci Bollinger Bands indicator is based on the same principles as the standard Bollinger Bands indicator developed by John Bollinger.

Efficiency Ratio is one of the newer indicators, and was developed by Perry Kaufman. It is a measure of relative market speed to volatility, and can be used as a trading filter to avoid choppy or flat markets. Not much has been written about it yet.

Ratio spread A term most commonly used to describe the purchase of an option(s), call or put, and the writing of a greater number of the same type of options that are out-of-the-money with respect to those purchased.

Ratio call spread. A compound option strategy that consists of a number of long calls with lower strike prices and a larger number of short calls with a higher strike price.

Ratio Spread - An option strategy where the number of long options purchased is less than the number of short options sold. In the case of a ratio call spread, the long call option has a lower strike price than the short call options.

Ratio Spread: This strategy, which applies to both puts and calls, involves buying or selling options at one strike price in greater number than those bought or sold at another strike price. Ratio spreads are typically designed to be delta neutral.

Ratio Hedge The number of options compared to the number of futures contracts bought or sold in order to establish a hedge that is risk neutral. Ratio Spread ...

Ratio Calendar Combination A strategy consisting of a simultaneous position of a ratio calendar spread using "calls" and a similar position using puts, where the striking price of the "calls" is greater that the striking price of the "puts".

ratio analysis " a method of analyzing a business by looking at its balance sheet and income statement right " a benefit given to stockholders to buy additional stock in a company in proportion to existing holdings for a specified period of time ...

Ratio - One value divided by another. The result is representative of the value of one quantity in terms of the other. Realised Profit - A capital gain or loss that is realised, for example a capital gain or loss on a completed transaction.

Ratio Calendar Combination-An options strategy where a trader has at the same time a ratio calendar spread using calls and a ratio calendar spread using puts. The strike price of the calls is greater than the strike price of the puts.

Ratio withdrawal plan: A type of mutual fund withdrawal plan that provides investors with an income based on a percentage of the value of units held.

Ratio: The relation that one quantity bears to another of the same kind, with respect to magnitude or numerical value. RBAR-Squared: The R-squared value adjusted for the number of degrees of freedom. Reaction: A short-term decline in price.

Ratio Spread: Buying a specific quantity of options and selling a larger quantity of out of the money options. Ratio Calendar Spread: Selling more near-term options than longer maturity options at the same strike price.

Q Ratio (Tobin's Q ratio) A ratio devised by James Tobin of Yale University, Nobel laureate in economics, who hypothesized that the combined market value of all the companies on the stock market should be about equal to their replacement costs.

A ratio spread of options established as a neutral position by using the deltas of the options concerned to determine the hedge ratio. Next Forex Glossary Term: Depo Start Trading Now ...

A ratio calculated by dividing a company's earnings per share by its current share price. The reciprocal of the price earnings ratio. Efficient Frontier Modelling ...

The ratio, also known as the "multiple", gives an investor an approximation of how much they are paying for a corporation's earning power. Low P/E stocks are usually in mature industries. They may be blue chip or out of favor companies.

The ratio of Earnings Per Share after allowing for tax and interest payments on fixed interest debt, to the current share price. The inverse of the Price/Earnings ratio.

The ratio of Oil Stocks to Current Oil Prices has been a good predictor of short-term stock market performance. What message does it have in store for us now? This market has something for everyone.

A/D Ratio (Issues)= Advancing Issues Declining Issues The AD issues ratio is applied as follows: ...

The ratio between a percentage change in the underlying security and the resulting percentage change in the warrant's price. Also called Elasticity. Eurolist Market ...

The ratio of the yield spread to the yield level. Rembrandt market The foreign market in the Netherlands.

... Ratio, for example, shows the relationship between rising and falling volume on the New York Stock Exchange. A U/D Ratio greater than 1 shows there is more volume with rising price stocks ...

The ration obtained by dividend the prices of a stock share by its associated earnings per share. program trading ...

PEG Ratio = Price/Earnings Ratio Annual EPS Growth PEG is a widely used indicator of a stock’s potential value. Many consider it to be a stock’s potential value.

P/E RATIO EQUATION Assume Y Co sells for 30 per share and has earned 3 per share this year. 30 = 10 times 3 Y stock sells for 10 times earnings.

The ratio of earnings to price (E/P). The reciprocal is price earnings ratio (P/E). Equity Ownership of the company in the form of shares of common stock.

The ratio adjusted index is calculated differently and is used for easier comparisons over long periods of time. First, the basic input for the ratio-adjusted version is no longer the daily advances minus declines.

The ratio of interest to the actual market price of the bond, stated as a percentage. For example, a bond with a current market price of $1,000 that pays $60 per year in interest would have a current yield of 6%. CUSIP ...

The ratio of current price divided by last two quarters earnings per share (EPS) plus next two estimated quarters EPS. See Price/Earnings Ratio. Current Year High & Low Prices ...

The ratio of any two consecutive numbers in the Fibonacci Sequence (0, 1, 1, 2, 3, 5, 8, 13, 21, 34, 55...). After development of the sequence the ratio between one number and it's preceding number is 1.618 and in the opposite direction is 0.618.

p/e ratio See price/earnings ratio passive market-making A process that allows a Market Maker firm to be both underwriter and buyer of a company's securities in a secondary public offering.

P/E Ratio :Price to earnings ratio. The price of a share of stock divided by earnings per share of stock for a twelve-month period. Par :A notion relating to fixed income instruments. Parallel Shift :A type of yield curve shift.

P/E Ratio - See "Price/Earnings Ratio." Point - Relating to a stock, a point means $1. Relating to a bond, a point means 1%. Relating to interest rates, a point means 1/100 of a percent. See "Basis Point." ...

See also: Stock, Price, Trading, Trade, Analysis