Stock market terms starting with D

Dark Cloud Cover Technical Analysis & Chart Patterns qualitative A two-candle formation in which a falling candle opens above the prior rising candle's close and closes below its midpoint. Test: previous candle rises; current Open > previous High; current Close < midpoint of previous body but above its Open

Data Mining Market Psychology & Behavioural Finance ratio (x, times) Searching data for patterns until something appears significant, without a prior hypothesis. Expected False Positives = Number of Independent Tests x Significance Level

Day High Market Basics & Instruments ₹ The highest price at which a security traded during the current session. Day High = maximum executed trade price between the session open and the current moment

Day Low Market Basics & Instruments ₹ The lowest price at which a security traded during the current session. Day Low = minimum executed trade price between the session open and the current moment

Day Order Orders, Execution & Market Structure qualitative An order that remains valid only for the current trading session and is cancelled automatically at the close if unfilled. Test: the order's validity expires at the end of the session in which it was placed

Death Cross Indicators & Oscillators qualitative The crossing of a shorter moving average below a longer one, conventionally the 50-day below the 200-day. Test: 50-period Moving Average crosses from above to below the 200-period Moving Average

Debenture Bonds & Fixed Income qualitative A debt instrument issued by a company, which in India may be secured against assets or unsecured. Test: the instrument acknowledges a debt of the company and is issued under a debenture trust deed

Debt Fund Funds, ETFs & Index Investing qualitative A mutual fund investing primarily in bonds, debentures and money-market instruments. Test: the scheme invests predominantly in fixed-income securities, with returns driven by accrual and by price changes from yield movements

Debt Service Coverage Ratio Fundamental Analysis & Valuation ratio (x, times) Cash available for debt service divided by the total of interest and principal due in the period. DSCR = Cash Available for Debt Service / (Interest + Principal Repayment Due)

Debt-to-Equity Ratio Fundamental Analysis & Valuation ratio (x, times) Total borrowings divided by shareholders' equity, measuring how much of the business is funded by lenders relative to owners. Debt-to-Equity = Total Debt / Shareholders' Equity

Debtor Turnover Ratio Fundamental Analysis & Valuation ratio (x, times) Revenue divided by average trade receivables, showing how many times a year credit sales are collected. Debtor Turnover = Revenue / Average Trade Receivables; Debtor Days = 365 / Debtor Turnover

Default Bonds & Fixed Income qualitative A failure by a borrower to pay interest or principal when due, or a breach of another obligation under the debt agreement. Test: a scheduled payment is missed beyond any grace period, or a covenant breach triggers an event of default

Defensive Stock Market Basics & Instruments qualitative A share whose earnings hold up through downturns because demand for its products barely changes with the economy. Test: earnings show low correlation with GDP growth, typically in consumer staples, pharmaceuticals or utilities

Deferred Tax Financial Statements & Accounting ₹ crore The tax effect of timing differences between how items are treated in the accounts and how they are treated for tax purposes. Deferred Tax = Temporary Difference x Applicable Tax Rate

Deflation Economy, Macro & Market Cycles % A sustained fall in the general price level, the opposite of inflation. Test: the price index declines from one period to the corresponding earlier one, giving a negative inflation rate

Delisting Corporate Actions, Dividends & Governance qualitative The removal of a company's shares from trading on a stock exchange. Test: the security is no longer admitted to dealings on the exchange, whether at the company's initiative or the exchange's

Delivery-Based Trading Market Basics & Instruments qualitative Buying shares with the intention of taking them into a demat account, rather than squaring off within the session. Test: the position survives the session close and settles into the buyer's demat account on T+1

Delta Derivatives, Futures & Options ratio (x, times) The rate at which an option's price changes for a one-unit change in the underlying. Delta = Change in Option Price / Change in Underlying Price; ranges 0 to 1 for calls and 0 to -1 for puts

Demat Account Indian Market, Regulation & Taxation qualitative An account with a depository in which securities are held in electronic form in the investor's name. Test: the account is opened with a depository participant and holds securities as a beneficial owner record at NSDL or CDSL

Dematerialisation Indian Market, Regulation & Taxation qualitative The conversion of physical share certificates into electronic holdings in a demat account. Test: the physical certificate is surrendered to the depository participant and an equivalent electronic credit is made to the demat account

Demerger Corporate Actions, Dividends & Governance qualitative The separation of a business division into an independent company, with shares issued to the existing shareholders. Test: an undertaking transfers to a resulting company, whose shares are issued to the demerged company's shareholders in proportion to their holdings

Depository Indian Market, Regulation & Taxation qualitative An institution that holds securities in electronic form and enables their transfer between accounts. Test: the entity is registered with SEBI as a depository and maintains securities in dematerialised form for beneficial owners

Depository Receipt Market Basics & Instruments shares A negotiable instrument issued in one country that represents shares of a company listed in another. Underlying Shares Represented = Number of Receipts x Receipt Ratio

Depreciation Financial Statements & Accounting ₹ crore The systematic allocation of a tangible asset's cost over its useful life as an expense in each period. Straight-Line Depreciation = (Cost - Residual Value) / Useful Life in Years

Terms starting with D