Posted in Finance, Accounting and Economics Terms, Total Reads: 188
Definition: Above the Market
Above the Market is the practice of purchasing or selling off a stock or a financial instrument at a value which is higher than current market value. It describes the price at which investor want to trade a stock.
It determines a threshold for buying/selling for a stock trader, where they can wait for the price to increase and make some profit.
Suppose Amanda possesses 10 shares of Company XYZ stock that he purchased at $10 an offer. He want to sell off the shares. In order to avoid any loss, he increases the price. He puts in an offer request over the market, at $15. Whenever and if the stock gets close $15, the stocks will be available for a sale.