minus tick

Minus Tick

Designates a trade that occurs at a lower price than the immediately preceding trade. Also referred to as "downtick" or "zero minus tick".

Investopedia Commentary

Brokerage firms require that short sell orders follow the "tick test", which means that if a stock is trading at a minus tick price (lower than the previous sale), a short sale at that time is not allowed. Generally, short sales are only allowed to occur on an uptick. This rule helps prevent traders from destabilizing a stock's price by short selling on minus ticks.

Related Links

Short Selling Tutorial
The Short And Distort - Stock Manipulation In A Bear Market

See also: Downtick, Short Sale Rule, Short Selling, Tick, Tick-Test Rules, Zero Minus Tick, Zero Plus Tick

Also spelled: down tick, zero minus tick, downtick

downtick

A downward price movement for a security transaction compared with the preceding transaction of the same security. Compare uptick. Also called minus tick.