he stock trading space has it's own language like most any profession. Here are a few of the most common acronyms used in chat rooms and forums by traders.
10/60 cross – See post on sidebar under important posts.
52s – new 52 week high
ADR – average day range over a certain period number of days, example: ADR(15) – the higher the number the more volatile
AH – After hours trade
B/O = Breakout
DD – Due diligence, do your homework on the stock, news, earnings, fundamentals etc.
D/R – DayRanger
DayRanger identifies stocks from our scan with the highest average daily range, which indicates volatility. Higher volatility may lead to above-average returns. The daily range is calculated as the percentage difference between the stock's high and low prices for the day relative to its closing price. For instance, if a stock closes at $10, with a high of $11 and a low of $9, the difference is $2. This makes the daily range 20%. Thus, an ADR(10) of 20% means the average daily range over a 10-day period.
DT - Downtrend
EOD – End of Day
E/R – Earnings Report
Green – Price is above previous day’s close
Green to Red (G/R) – Stock was above prior day’s close, but now has dropped below it
HOD – High of Day (nHOD = new high of day), Typically NOT used near market open. Both should be use when a stock has retreated from a high or low, then later makes a new high or new low.
HTB - Hard to Buy
IB - Interactive Brokers
L2 - Level 2 data
LBB -Lower Bollinger Band
L/F – Low float, usually small cap companies with fewer shares issued and a lot of those shares owned by insiders or institutions. Hence lower number of shares actively traded. That increases volatility and potential for short squeeze or drop/rise on E/R or news.
LOD – Low of Day (nLOD = new low of day), Typically NOT used near market open. Both should be use when a stock has retreated from a high or low, then later makes a new high or new low.
MM - Market maker
O/N – Over Night
OTC - Over the counter, market is where securities trade via a broker-dealer network instead of on a centralized exchange like the New York Stock Exchange.
OTD - Open test drive, happens when the market opens, moves a short distance in one direction and then another trying to advertise for one side or the other to step in.
OTF - Organized trading facility, it’s a multilateral system which is not a regulated market or an MTF and in which multiple third-party buying and selling interests in bonds, structured finance products, emission allowances or derivatives are able to interact in the system in a way that results in a contract.
OTO - One triggers the other, If the primary order executes, the secondary order automatically triggers. This type of order can help you save time: place a buy order as your primary order and a corresponding sell limit, sell stop, or sell trailing stop at the same time.
PH - power hour, the last hour of trading (3pm to 4pm Eastern)
Pre – Pre-Market trade
PPT Plunge protection team – meaning the prop job that comes in towards the end of the day to give the market a boost into the next trading session.
R/R– Risk/Reward
Red – Price is below previous day’s close
Red to Green (R/G) – Stock was below prior day’s close, but now has rose above it
S/R (also SUP or RES)– support/resistance
Shoooooop – often referred to when a stock starts to tank hard
SS or S/S – short sell
SSR – Short sell restriction/downtick rule
TDA - TDAmeritrade
TOS - Thinkorswim, platform now owned by Schwab
TL - Trendline
TT - Trend trade
TTM - To the moon indicates when a stock is dramatically moving up (Gamestop $GME in 2021 was a prime example)
UBB – Upper Bollinger Band
VWAP - Volume Weighted Average Price
YOLO - You only live once, commonly used when shorting a stock overnight and/or trading with the majority of a traders funds
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