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What is difference between Today's Closing Price and LTP? Do you know?

Friday, April 9, 2010 | Labels: | |

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There is interesting confusion among trader and investor about LTP (Last traded price ) and Today's closing price. Both seems same. If you observe closely then you should found difference between them.

I like to clear this concept. If you knows already then also you got something new in this article. LTP is last traded price in market and Closing price is calculate by taking average of last 30 minute of trading session.

In technical analysis both price have there own valuation. Most of the Technical Analyst and there software relys on closing price. Some of them who are analyse data for short period are use LTP.
Today's closing price is more reliable for long term. Difference between both big in less liquid stock.

Closing price is derived from 9% of total trading time. It accumlate 1 to 2% of total trading volume. LTP is may fluctuate due to last time in market session. Most of market player are use closing price to analysis. If you are use LTP then you should face difference between your analysis and tomorrow's opening. So it will better to go with most of trader of market.

If you have another own concept feel free to share with our reader.

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2 Comments:

  1. sunita pillai says:

    Thank you..i have been referring various sources to get a clarity..Thanks again for the info!

  2. Anonymous says:

    very nice article !!

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