The financial asset upon which a derivative’s value is based.
Examples: A stock is the underlying asset for an option; crude oil is the underlying for an oil futures contract.
A profit or loss on a position that is still open and has not been closed (i.e., not yet realized).
Example: You bought a stock at $100, and it's now worth $110, but you haven’t sold it yet = Unrealized gain of $10.
Debt that is not backed by collateral.
Higher risk for lenders, which often means higher interest rates for borrowers.
A trade executed at a price higher than the previous trade.
Opposite of: Downtick
A former rule in U.S. markets that restricted short selling to occur only on an uptick. Aimed to prevent short sellers from pushing prices down in a falling market.
Market movement characterized by a consistent rise in the prices of financial instruments over a specific period.
Debt securities issued by the U.S. government.
Types include: