Annuity

Contracts issued and distributed by financial institutions in which the funds are invested with the goal of returning fixed payments at a later date.  Annuities are typically used by retirees to prevent savings accounts expiring before their owner.  Annuities begin in...

Wyckoff

A 5-step method for market analysis and decision making developed by Richard D. Wyckoff in the 1930s.  The 5 steps of the method are as follows: 1. Determine the present position and probably future trend of the market. 2. Select stocks in harmony with this trend (ie,...

World Bank

An international organization providing financing, advice, and research to the governments and economies of developing nations.  The World Bank was founded along with the International Monetary Fund (the IMF) under the Bretton Woods Agreement.  It supplies qualifying...

Wedges

A price pattern created by converging trend lines on a price chart.  The two lines are drawn to connect the highs and lows of a price over the course of 10-50 trading periods.  These lines display the highs and lows as either rising or falling and create a wedge shape...

Small Cap

Companies with a relatively small market capitalization (or between $300 million and $2 billion market caps).  Small cap companies may be appealing to investors looking to beat institutional investors to new or emerging companies.  Though small cap stocks have...

Mid Cap

A term used for companies with a market cap of between $2 and $10 billion.  These Middle Capitalization companies fall between large capitalization (or companies with <$10 billion market cap) and small capitalization (or companies with $300 million – $2...

W Pattern

A double bottom pattern that forms a shape similar to the letter “W.”  It describes a change in trend and a momentum reversal from a previous leading price action.  It shows the drop of a stock or index, the subsequent rebound, another drop to the same or...

Three Black Crows Chart Pattern

A bearish candlestick pattern that may predict the reversal of an uptrend.  The Three Black Crows are a visual pattern, meaning no calculations are necessary to identify the pattern.  It occurs when bearish candles take over bullish candles for three consecutive...

Target Date Fund

Mutual or exchange-traded funds (ETFs) built to grow assets in a way that’s optimized for a specific time frame.  They’re structured to address an investors capital needs by a specific date (hence “target date” fund).  They’re frequently...

Swing Trading

A style of trading that attempts to acquire short to medium-term gains in a stock or financial instrument over a period of days or weeks.  In essence, they trade stocks in a short-term timeframe as opposed to a more investment-centered model.  This exposes the trader...