Finance

In simple terms, amalgamation means the action, process, or result of combining or uniting two or more companies into a larger single company. The process creates a new company in which none of the pre-existing companies survive.Here are the most important reasons why companies perform amalgamation:To access new markets, technologies and clients / geographies.For … [Read more...] about Amalgamation

A bull is a market participant who invests in a security expecting the price will rise. A bull trap occurs when these bulls get trapped due to a false reversal signal in a strong downtrend.In a strong downtrend, price keeps falling due to selling pressure. When the underlying security suddenly shows a reversal signal, many bulls get attracted to go long. Shortly … [Read more...] about Bull Trap

Most often bear traps occur in a strongly uptrend. A bear is the one who always has a bearish mindset in the market. They think that the market is not going to go up, it will fall/reverse.When bears think that a trend reversal in an uptrend is imminent, they go short thinking that the market will reverse. If that downtrend never occurs or after a small correction bulls jump … [Read more...] about Bear Trap

Stock split means the company wants to lower its share price by splitting its existing shares of stock into smaller or less valuable shares. It's a corporate action for making a stock more attainable to smaller investors.After the stock split, the company's total number of outstanding shares increases and the stock price of a single share decreases. The total value of their … [Read more...] about Stock split

Buy the dip is a common phrase used by investors, TV journalists and traders which means purchasing stocks after they have dropped in price. It follows the basic investment principle of “buy low, sell high".When an investor or trader is buying the dips it means they are purchasing a stock after a drop hoping to profit if the market rebounds.When the market is in a long … [Read more...] about Buy the dip