Trader Slang

By : JakeOfSpades


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Here are some common investor/trader acronyms or words you might come across in chat rooms.


A/S : Stands for Authorized Shares, this is the total number of shares a company may issue to the public.

 

Ask Slapping: Slang for when a trader who buys shares at the ask price.


Bid Whacking: Slang for when a trader who sells shares at or below the bid price. This is abnormal behavior since sellers normally settle for a price between the bid and ask quotes. In general, bid whacking is seen as a negative by other sellers since it drives the price lower.


Bloated: Used to describe a ticker that has a higher than normal share structure (huge outstanding shares / float).


BTFD: Stands for Buy The ******* Dip, an acronym for buying when a stock or crypto has lowered in value in a short time period.


DD: Stands for Due Diligence, the research you put in (fundamental or technical) before purchasing a stock/crypto.

 

Flip: When a trader buys and sells for a quick profit, usually intraday.

 

Float : Refers to the regular shares that a company has issued to the public that are available for investors to trade (Outstanding Restricted Shares).

 

Hearing: A term when there is rumors/speculation of a stock/crypto generally news.


HODL: A meme that originated from someone misspelling HOLD. Means to have a long position for an extended period of time.


Level 2: Generally all brokerages have the option of enabling Level 2 quotes, this allows traders to see current trades associated with the ticker by MMs, their quantity and bid price.

  

Long / Going Long : The most common strategy for a trader to buy a stock and sell at a higher value sometime in the future.

 

MM : Stands for Market Maker, a firm that stands ready to buy and sell a particular stock on a regular and continuous basis at a publicly quoted price. Some common MMs are ASCM, NITE etc.

 

NHOD : Stands for New High Of Day, when a price of a stock/crypto has reached it's highest price for the day.


O/S: Stands for Outstanding Shares, refers to a company's stock currently held by all its shareholders.


OTC: Stands for Over The Counter, stocks that not traded on big exchanges such as the NASDAQ or NYSE. These securities are managed by OTCMarkets.


$PAYTIENCE : Figure of speech meaning patience will generally pay off.


RH: Stands for Robinhood, a popular commission free brokerage. 


R/S : Stands for Reverse Split, A corporate action in which a company reduces the total number of its outstanding shares. A reverse stock split involves the company dividing its current shares by a number such as 5 or 10, which would be called a 1-for-5 or 1-for-10 split, respectively.

 

Resistance : A term used to descrive a value where a stock has reached but will not go above. Determined with technical analysis.

 

Restricted Shares : Shares only available to company insiders such as employees.

 

Sell-Off : When an abnormal amount of traders are selling a position also called dumping.

 

Short / Shorting a stock : Opposite of long, is when an investor borrows shares and immediately sells them, hoping he or she can scoop them up later at a lower price, return them to the lender and pocket the difference.

 

Stones/$STONES : Figure if speech for going long on a stock, see $PAYTIENCE.

 

$STUDY : Figure of speech recommending a trader has to do more research before making his/her next trade.

 

SS: Stands for Share Structure which is an outline of the companies authorized, outstanding, restricted shares and float.

 

Support : A term used to describe a value where a stock will maintain or not go below. Determined with technical analysis.

 

Swing Trade : Buying a stock and selling a later date (not intraday).

 

Technical Analysis (TA): The act of using a variety of indicators to determine if a trader wants to take a position on a stock.

 

ToS: Stands for ThinkorSwim a platform for trading stocks by TD Ameritrade.


Turd : Slang for when a stock isnt doing very well or has terrible news or share structure associated with it.

 

Wall: When a large amount of buys or sells stack up in the order queue (Level 2), this can used determine support level and/or resistance levels.