How is previous close price calculated?

The closing price is calculated by dividing the total product by the total number of shares traded during the 30 minutes. So your closing price is Rs 13.57 (Rs. 95/7). You last trading price is, however, Rs 20, which is the price at which the stock was traded last.

Why do stocks go up after close?

Why Are Stock Prices More Volatile in After-Hours Trading? The number of participants in after-hours trading is a fraction of those during regular market hours. Fewer participants means lower trading volumes and liquidity, and hence wider bid-ask spreads and more volatility.

What do the lines mean on a stock chart?

Trendlines, also known as bounding lines, are lines drawn on a stock chart that connect two or more price points. Since stock prices tend to trend, trendlines that connect the highs or lows in the stock’s price history can help identify the current trend and predict what the stock price might do in the future.

What does it mean to buy stock on market on close?

A market-on-close (MOC) order is a non-limit market order, which traders execute as near to the closing price as they can—either exactly at, or slightly after the market close. The purpose of a MOC order is to get the last available price of that trading day.

What is the previous close of a stock on a trading day?

Previous close — The stock’s closing price on the previous day of trading. 52-week range — The highest and lowest daily closing prices at which the security traded during the last year. Market cap — The total market value of the company’s outstanding shares.

Why previous close and open price is different?

Typically, a security’s opening price is not identical to its prior day closing price. The difference is because after-hours trading has changed investor valuations or expectations for the security.

How do you read a stock trendline?

If prices are falling, draw the trendline above the price highs. If the stock is range-bound, draw a trendline above the high prices and below the low prices. At least 90 to 95 percent of the prices should be contained above or below the trendline. Read the trendline starting with the angle.

What is a limit on close order?

A limit-on-close (LOC) order is a limit order that is to be executed at the market close. Limit orders control the price that is paid for a security, or what price a security is sold at. The additional “on close” parameter means the order is only executed if the closing price is within the price limit of the order.

Why is market on close important?

Market-on-close orders enable investors to trade in securities in different time zones. They enable investors to minimize losses due to negative price movements in their holdings that can occur overnight.