Glossary
R
random: unpredictable.
ranging: price compressed into a tight band, with flat slope and overlapping bars. Quantum ranging is less than 0.05% of price.
ransack: to look thoroughly; to study carefully.
read the tape: to perceive and interpret price activity, thereby determining pattern or randomness, and perhaps regime.
realtime: that actual time in which a process occurs.
Red: a sell order; the term red comes from the “Ask Size” Matrix column, by which you set a short Limit order, is colored red. Contrast Blue.
redeem: to recover from a loss or debt.
reek: to give a strong impression of some constituent quality or feature.
reflex: rapid natural reaction.
regime: 1) for stocks, a mode of price behavior; 2) generally, a way of managing; a management system; a system of rule.
regular (trading) session: 9:30 am to 4 pm USA Eastern time (-4 GMT) weekdays (Monday – Friday), excepting holidays. Compare premarket, postmarket.
reify: to regard an abstraction as real.
render: to present for consideration; to represent or interpret; depict.
rescind: revoke; cancel.
resistance level: a ceiling price level which a stock struggles to rise above. Compare support level.
retail (investors): an individual who invests in the stock market. Compare institutional.
retrace: a price move counter to the prevailing trend. A retrace is a mild corrective which resolves by resuming the original direction.
revback dilemma: difficulty in distinguishing between a pullback and a reversal.
revback: a reversal or pullback that respectively initiates a trend (reversal) or pauses a trend (pullback) before the trend reasserts itself. See revback dilemma.
reversal: a new, current trend running counter to the previous trend. Compare pullback. See revback.
revolutionary: creating or leading to profound change.
rifle (verb): to search thoroughly in order to rob; ransack.
risk: the fearful idea that an act might bring loss; hazardous chance. Risk is imaginary and the imagination is statistically a poor predictor.
RoC (Rate of Change): a price momentum oscillator.
rocket burn: a sudden significant loss via a contrary rocket.
rocket: a volatile projectile. Compare missile.
rosy: promising, favorable.
RSI (Relative Strength Index): a price momentum oscillator that tells the speed and magnitude of a stock’s recent price changes, used to detect oversold or overbought conditions.
rule of thumb: an approximate method for doing something, based on practical experience rather than theory.
Russell 2000: a stock index of 2,000 small-cap US stocks, launched in 1984 and named after the Frank Russell Company. The Russell 2000 is market-cap weighted: large companies in the index are more influential. The Russell 2000 is often used to gauge the health of the US economy. This is rather silly, as the stock prices of small public corporations are not emblematic of societal prosperity.