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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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Cointegration

Technical analysis

A stable long-run relationship between two price series, such that the spread between them oscillates around a mean rather than trending away.

In plain terms

The statistical name for what a pairs trader checks by eye: plot the ratio over three years and see whether it oscillates or simply wanders off.

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Indian stock market glossary · Market Vidyalaya