Define Stock Market Ticker Tape

By Gilbert Stockton

The stock market ticker tape is, now, a computerized unit that relays information about a stock's trading activity to investors around the world. The stock market ticker tape's information includes the stocks' symbol on the exchanges, the latest price per share, and its trading volume. Before computerized methods, stock market ticker symbols were printed out on a thin piece of paper that continuously streamed out of a ticker-tape machine.

Technology has came a long way in that we no longer need to print stock information for ticker tape. All of it can be sent online. The stock ticker tape machine was created in 1867 and used to take a long time so send information out to brokers and the closest offices go the information quickest. Which explains why offices were built so close to the New York Stock Exchange.

Companies choose the symbols and letters for their company that they well denote on the ticker tape. This helps to avoid confusion and gives investors the knowledge for public trading on the market.

MSN and other tv shows run the ticker tape at the bottom for investors. It is difficult to read at first but as soon as you know what companies you wish to follow becomes a lot easier.

Stocks symbols are one of the most recognized form of symbols. Stocks on the NYSE have three letters. Stocks on the Nasdaq have 4 letters. Mutual funds have even more.

Ticker also means that when a stock goes up or down it ticks in a direction. This shows whether the stock is moving up in price or down in price. - 23229

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