Understanding market terminology is the first step toward confident investing. Here are the key Egyptian Exchange (EGX) terms, explained simply.

Core terms

Share / Stock: a unit of ownership in a company. Owning a share means owning a small piece of the company.
Index: a measure of a group of stocks' performance, such as the EGX30, which holds the 30 most liquid, active companies.
Liquidity: how easily a stock can be bought or sold quickly without much impact on its price. Blue chips are more liquid.
Market Cap: a company's market value = share price × number of shares.
P/E ratio: share price divided by earnings per share — a tool to gauge whether a stock is relatively cheap or expensive.
EPS: the company's net profit divided by the number of shares.
Dividend Yield: annual cash dividends as a percentage of the share price.

Trading terms

Bid/Ask: the bid is the highest price buyers will pay; the ask is the lowest price sellers will accept.
Stop-Loss: an automatic sell order at a set price to cap a loss.
Trend: the general direction of price movement — up, down, or sideways.
Support/Resistance: price levels where the price tends to bounce.

To apply these in practice, browse the stock analysis pages or learn the basics of technical analysis.