reversal

reversal
turn, unwind . For convertible reversal, selling a convertible and buying the underlying common, usually effected by an arbitrageur. For market reversal, change in direction in the stock or commodity futures markets, as charted by technical analysts in trading ranges . For options reversal, closing the positions of each aspect of an options spread or combination strategy. Bloomberg Financial Dictionary
————
An example of an arbitrage trade, where the future is sold and a synthetic future is purchased by buying a call option and selling a put option with the same maturity and strike price on the same underlying asset. Entered into when the relationship described as put/call parity has broken down, and the futures is relatively expensive to the synthetic. The opposite of a conversion. Dresdner Kleinwort Wasserstein financial glossary

* * *

reversal re‧vers‧al [rɪˈvɜːsl ǁ -ɜːr-] noun
1. [countable] a change to an opposite arrangement, process, or course of action:
reversal of

• The move was a reversal of Kodak's previous policy.

reversal in

• Money managers predict a reversal in the industry's rising share values.

2. [countable] a failure or other problem that prevents you from being able to do what you want:

• In spite of setbacks and reversals, his business was at last making money.

* * *

   In technical analysis, a reversal is a change in trend. Many technical analysts use patterns in price charts to spot a reversal. Key reversal patterns include head and shoulders, triple top/bottom, double top/bottom and V-formation/spikes.
   ► See also Patterns, Technical Analysis.

* * *

reversal UK US /rɪˈvɜːsəl/ noun
[C or U] a change in something so that it becomes the opposite of what it was before: »

What led to the reversal of the policy?

»

The policy has undergone a complete reversal.

a reversal of sth »

There has been a reversal of the decision to reduce staff in HQ.

a reversal in sth »

We are hoping for a reversal in the downward trend of sales.

»

The company has recently experienced a reversal of fortune.

[C ] a problem or failure that makes it more difficult for a person or organization to be successful: »

The business suffered several reversals when it first entered the Asian market.

»

The resignation of the CEO represents a significant reversal for the company.


Financial and business terms. 2012.

Игры ⚽ Нужен реферат?
Synonyms:

Look at other dictionaries:

  • reversal — re·ver·sal n 1: an act or the process of reversing 2: an instance of reversing the reversal of the lower court s decision Merriam Webster’s Dictionary of Law. Merriam Webster. 1996 …   Law dictionary

  • Reversal — can refer to: * Reversal film, a type of photographic film also known as slide or transparency film * Reversal of polarity * Sweep (grappling) in grappling, also known as a reversal *Reversal (film), a movie about wrestling * Reversal (options),… …   Wikipedia

  • Reversal — Re*ver sal, n. [From {Reverse}.] 1. The act of reversing; the causing to move or face in an opposite direction, or to stand or lie in an inverted position; as, the reversal of a rotating wheel; the reversal of objects by a convex lens. [1913… …   The Collaborative International Dictionary of English

  • réversal — réversal, ale, aux [ revɛrsal, o ] adj. • 1594; du lat. reversus, p. p. de revertere ♦ Diplom. LETTRES RÉVERSALES, ou ellipt réversales, contenant des concessions réciproques. ⇒RÉVERSAL, ALE, AUX, adj. DR., DIPLOM. [En parlant d un doc., d un… …   Encyclopédie Universelle

  • Reversal — Re*ver sal, a. [See {Reverse}.] Intended to reverse; implying reversal. [Obs.] Bp. Burnet. [1913 Webster] …   The Collaborative International Dictionary of English

  • réversal — réversal, ale (ré vèr sal, sa l ) adj. Il s est dit d un acte d assurance donné à l appui d un engagement précédent. Diplôme réversal. Lettres réversales, ou, substantivement, réversales.    Lettres réversales, ou réversales, se dit aussi de… …   Dictionnaire de la Langue Française d'Émile Littré

  • reversal — reversal, reversion Reversal is the noun corresponding to the verb reverse, and means primarily ‘the changing (of a decision)’, whereas reversion corresponds to the verb revert, as in The style represents a reversion to classical Japanese… …   Modern English usage

  • reversal — late 15c.; see REVERSE (Cf. reverse) (v.) + AL (Cf. al) (2) …   Etymology dictionary

  • reversal — adj. 2 g. 1. Que assegura ou garante promessa anterior. 2. cartas reversais: cartas pelas quais se faz uma concessão em troca de outra compensatória …   Dicionário da Língua Portuguesa

  • reversal — [n] about face annulment, backpedaling, cancellation, change in direction, doubleback, repeal, rescinding, retraction, switch, turnabout, turnaround, U turn, volte face; concept 697 …   New thesaurus

  • reversal — ► NOUN 1) a change to an opposite direction, position, or course of action. 2) an adverse change of fortune …   English terms dictionary

Share the article and excerpts

Direct link
Do a right-click on the link above
and select “Copy Link”