Thursday, August 15, 2013

Tale your Tape - The Stock Market Sign Tape


It isn't tape may doesn't tick but the scrolling series of symbols, abbreviations and numbers there is on TV news apps and investment firm talk boards tells the play-by-play storyline of Wall Street. The "ticker tape" was originally a strip of thin paper on which brokers on to the ground of the New York Stock Exchange noted deals. Runners then took a person strips to nearby sale houses.

Immediately after a particular Civil War. telegraph technology was able to transmit brief information of securities transactions in Morse Code. The invention of a new Stock Market ticker tape machine in 1930 took messengers and Morse out there equation.

With these machines distributors received information down a leased wire and printed out with a clattering, or perhaps ticking, sound onto paper "tape" that slowly unwound employing spool. A new code is fashioned that provided more basis, was easier to ever heard and didn't require knowledge of Morse Code.

Today's "ticker tape" is is likely to a computer-generated graphic crawling using a video screen. Once you understand what the abbreviations, value and numbers mean, reading the "tape" is not rocket science.

Here's an example (using a made-up security) of the way to read a Stock Market ticker tape:

MAQ 1K @ 21. 95 (up arrow). 50

This relate: 1, 000 shares when using the Stock with ticker seal MAQ traded at $19. 96 per share, up noticeably cents.

When securities rotate, the market moves that economy is affected. When your buck changes by even a penny the modern, computer-generated ticker tracks generally. That essentially is the tale of the ticker bunches.

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