Downtick

In trading, the term down tick or downtick refers to a purchase or sale of a security or asset which is transacted at a price lower than that at which it was last transacted.

Example: An investor buys shares in a specific stock at 26.59 Swiss francs per share. The next time shares in that stock are sold, the investor who buys them pays 26.58 francs per share. This results in a downtick of 1 centime in the stock’s value.

See also: Uptick

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Daniel Dreier is editor and personal finance expert at moneyland.ch.

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