Financial Literacy

What Does it Mean to Buy to Open?

Buy to open is the technical term for opening a position. To officially open the position, be it a stock or an option, you need to buy in.

What is a Bullish Engulfing Pattern?

When an investor takes a look at a candlestick chart, he or she can spot a bullish engulfing pattern with relative ease.

What Does it Mean to Buy to Cover?

Buy to cover is the practice of purchasing shares of a company that you’re short on before you close out your short position.

What Does it Mean to Buy the Dip?

If you’ve spent any amount of time investing or researching investments, you’ve likely come across the phrase “buy the dip.”

What is a Buy Stop Order?

A buy stop order allows investors to specify a price point above the current price of a security, at which they want to purchase it.

What is a Bull Spread?

Here’s a closer look at bull spreads: how to set them up, how they work and what traders can expect when they dabble with bullish options. 

What is a Bull Call Spread?

A bull call spread is a great approach to capitalizing on appreciation in times of volatility, as well as in a generally bullish market.

What is a Bull Trap?

Traders need to avoid false signals, like bull traps. Here’s a closer look at these false signals and when you need to beware of them.