Closing

DEFINITION of 'Closing'

The end of a trading session. The closing of a trading day halts trading on exchanges. After-hours trading still occurs until 8 pm.

An action which will eliminate your position in a security. Closing a position is done by taking an action which will take away your exposure to risk.

The final procedure in a sale in which documents are signed and recorded. This is the time when the ownership of the property is transferred.

BREAKING DOWN 'Closing'

The close of the New York Stock Exchange is marked by ringing a bell at 4 pm EST. The closing price is often quoted and used when looking at historical prices. For example if you own a stock, then you can close your position by selling it.

Closing is often referred to in sales as the act of convincing the purchaser to actually purchase, often seen as the toughest part.

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RELATED FAQS
  1. Why are the bid and ask quotes usually so far away from each other in after-hours ...

    After-hours trading is defined as the exchange of securities outside of an exchange's specified regular trading hours (usually ... Read Answer >>
  2. Does the closing price have to equal the last price traded?

    Logically and theoretically, the last price traded should be the same as the closing price of a stock. However, the way we ... Read Answer >>
  3. What trends and data influence after-hours traders the most?

    Learn about the specific information that after-hours traders review to influence their trading. Read Answer >>
  4. What does "after the bell" mean?

    "After the bell" is financial slang for activity occurring after the close of the stock market, including after-hours trading, ... Read Answer >>
  5. Where can I find information about pre- and after-hours trading on the NYSE and the ...

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  6. How do I calculate the adjusted closing price for a stock?

    When trading is done for the day on a recognized exchange, all stocks are priced at close. The price that is quoted at the ... Read Answer >>
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