Nifty 50
Sensex
US Tech 100
Dow Jones
FTSE
Dax
CAC
Nikkei 225
Hang Seng
SSE Composite
TAIEX
KOSPI
Gift Nifty
Strategy Indices
Broad Market Indices
Sectoral Indices
Thematic Indices
Home
Finance GlossaryGold Futures
Gold Futures
Definition of Gold Futures
Gold futures are commodity derivatives that derive their value from gold bullion. A trader who buys a gold futures contract acquires the right and obligation to buy gold at a later date and price that’s pre-agreed. Gold futures in India are eligible for physical delivery once the terms of the contract are successfully fulfilled.
Related Terms
Issuer
An issuer is the company that sells its shares to the public for the first time via an IPO. Investors can buy the freshly issued shares from the issuer by meeting the issue price. Large Cap Stocks
P/E Ratio (Trailing)
The Trailing Price-to-Earnings (Trailing P/E) Ratio is the most common version of the P/E ratio, where the historical earnings of the company are used to calculate it. It compares the current stock price to the actual earnings per share (EPS) over the last four quarters (12 months) of the company. The formula for this is: Trailing P/E = Current Share Price / EPS for the last 12 months. Trailing P/E is based on concrete, reported financial results and is therefore reliable for historical comparison, but may not fully reflect a company's current or future prospects.
Momentum Investing
Momentum Investing is an investment approach that focuses on buying securities that have shown strong recent price performance and selling those with weak performance. The strategy is based on the idea that assets trending in one direction often continue moving that way for some time due to market behavior and investor psychology.
Equilibrium Price
Equilibrium price is achieved when the demand is exactly equal to the supply. It is a state where buyers and sellers have enough goods and services to meet each other’s demands - not more, not less. One could say that equilibrium price is a perfectly balance state in the market.
Dividend Payout Ratio
The Dividend Payout Ratio refers to dividends paid to shareholders as a percentage of the net income or Earnings Per Share (EPS) of a company. The formula to calculate dividend payout ratio is:
DPR = Dividend / Net income
or
DPR = Dividend / Earnings Per Share
A higher dividend payout ratio means that a company is redistributing a chunk of its profits to shareholders, which generally implies that the company is well-established.
DPR = Dividend / Net income
or
DPR = Dividend / Earnings Per Share
A higher dividend payout ratio means that a company is redistributing a chunk of its profits to shareholders, which generally implies that the company is well-established.
Trendline
A trendline is a straight line drawn on a price chart to indicate the direction of a market trend. It connects a series of higher lows in an uptrend or lower highs in a downtrend. Trendlines help identify support and resistance levels, assess trend strength, and anticipate potential breakouts or reversals.
Invest & Trade with a Trading
Platform That's #MadeForTrade
Open your Dhan Account in minutes!
