Financial Glossary

An investor stuck holding a declining stock or asset after missing the opportunity to sell at higher prices.

A prolonged decline of 20% or more in stock prices from recent highs, typically lasting months to years and signaling investor pessimism.

Beta measures a stock's volatility relative to the overall market, with 1.0 meaning it moves in sync with the market.

The bid-ask spread is the difference between the highest price buyers will pay for a security and the lowest price sellers will accept.

An unpredictable, rare event with extreme consequences that fundamentally disrupts markets and seems obvious only after it happens.

Technical analysis tool using moving averages and standard deviation to identify overbought/oversold conditions and volatility.

Book value represents the accounting worth of a company if it were liquidated today, calculated as total assets minus total liabilities.

A bull market is a sustained period of rising stock prices, typically defined as a 20% gain from recent lows across major market indices.