Investopedia

Decline

Dictionary Says

Definition of 'Decline'

When a security's price falls in value over a given trading day and subsequently closes at a lower value than its opening price. A decline can happen for any number of reasons, including a reduction in the firm's intrinsic value, or as a result of the security's price dropping below its support level.
Investopedia Says

Investopedia explains 'Decline'

Decline aggregate data is used to calculate the advance/decline index, which traders use to determine the direction of the market at any given point in time. It is often considered the most effective tool in gauging the market's direction or sentiment.

Articles Of Interest

  1. Thomas Rowe Price: Always Right

    This great investor mastered a new type of investing with every new market he faced.
  2. Discovering The Force Index

    Learn how to measure the power of bulls behind rallies and bears behind declines.
  3. Connecting Crashes, Corrections And Capitulation

    Even though crashes, corrections and capitulations are bad news for investors holding the stock, there are still ways to profit.
  4. Discovering the Absolute-Breadth Index and the Ulcer Index

    It's time to acquaint yourself with these lesser-known yet effective technical indicators.
  5. Market Strength Tutorial

    Here you can learn about some of the indicators that traders and brokers use to determine the direction and strength of the market's present trend.
  6. 5 ETFs Flaws You Shouldn't Overlook

    Despite their popularity, exchange traded funds have some drawbacks that investors should know about.
  7. Using The Price-To-Book Ratio To Evaluate Companies

    The P/B ratio can be an easy way to determine a company's value, but it isn't magic!
  8. Liquidity Vs. Solvency

    Learn about the differences between these two words and how each one is used in the stock market.
  9. Should You Invest Your Entire Portfolio In Stocks?

    It is true that stocks outperform bonds and cash in the long run, but that statistic doesn't tell the whole story.
  10. The Uses And Limits Of Volatility

    Check out how the assumptions of theoretical risk models compare to actual market performance.
comments powered by Disqus
Marketplace
Hot Definitions
  1. Disaster Loss

    A special type of tax-deductible loss, similar to a casualty loss, where a loss has been incurred by taxpayers who reside in an area that has been designated as a federal disaster area by the President.
  2. Fool In The Shower

    The notion that changes or policies designed to alter the course of the economy should be done slowly, rather than all at once.
  3. Pattern Day Trader

    An SEC designation for traders who trade the same security four or more times per day (buys and sells) over a five-day period, and for whom same-day trades make up at least 6% of their activity for that period.
  4. Cost-Push Inflation

    A phenomenon in which the general price levels rise (inflation) due to increases in the cost of wages and raw materials.
  5. Happiness Economics

    The formal academic study of the relationship between individual satisfaction and economic issues, such as employment and wealth.
  6. Affluenza

    A social condition arising from the desire to be more wealthy, successful or to "keep up with the Joneses." Affluenza is symptomatic of a culture that holds up financial success as one of the highest achievements.
Trading Center
Array ( )
taggroups(for debug only):
Array ( [0] => Investing [1] => Financial Theory [2] => Investing-Basics )