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1492 terms

Glossary

Every term is defined twice: once the way a filing would put it, and once the way somebody would explain it to you across a table. The second one is usually the one that sticks.

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Back-adjusted chart

Derivatives
Also called: Back-adjustment, Ratio-adjusted chart, Ratio adjustment

A continuous futures series in which the earlier history is shifted up or down by the rupee gap at each roll, cumulatively, so the joins disappear.

In plain terms

It preserves point-for-point moves and destroys absolute levels — old prices are no longer prices anyone paid, and they move again at the next roll. Ratio adjustment does the same job by multiplication, preserving percentages instead of rupee distances.

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Indian stock market glossary · Market Vidyalaya