DEFINITION of 'Zero Uptick'

A transaction executed at the same price as the trade immediately preceding it, but at a price higher than the transaction before that. For example, if shares are bought and sold at $47, followed by $48 and $48, the last trade at $48 is considered to be a zero uptick. This distinction can be important for short sellers trying to avoid shorting an ascending stock. Also known as a zero-plus tick.


The technique of shorting on a zero uptick is not applicable to all investment markets, due to various rules and regulations prohibiting or restricting such transactions. The forex market, which has limited restrictions on shorting, is among the markets in which the technique is more popular.

  1. Uptick

    A transaction for a financial instrument that occurs at a higher ...
  2. Uptick Rule

    The Uptick Rule is a former law established by the SEC that requires ...
  3. Short Exempt

    A short sale order in which the uptick rule doesn't apply to ...
  4. Plus Tick

    A price designation referring to the trading of a security at ...
  5. Zero Minus Tick

    A securities trade executed on an exchange at the same price ...
  6. Uptick Volume

    The volume of shares of a security that are traded when the price ...
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  1. What kinds of restrictions does the SEC put on short selling?

    Learn about the rules and regulations on short selling enforced by the U.S. Securities and Exchange Commission, or SEC, including ... Read Answer >>
  2. Why is the Uptick Volume important for traders and analysts?

    Find out why technical analysts and traders keep track of uptick volume to better assess the momentum of a stock's price ... Read Answer >>
  3. What is a common strategy traders implement when using the Uptick Volume?

    Learn how traders use uptick and downtick volume with VWAP cross to identify trends and momentum and identify points of big ... Read Answer >>
  4. What is the difference between a short position and a short sale?

    Learn how short selling and short positioning are different, specifically in regards to the nature of the commodity being ... Read Answer >>
  5. Why does my broker allow me to enter only day orders for short selling?

    Put simply, brokerage firms restrict short sales to day orders because of the complexity of the short sale transaction and ... Read Answer >>
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