Definition
A lower lock can reduce liquidity and make it difficult to exit immediately at a desired price.
Worked example
If a stock hits lower lock after negative news, sellers may queue while buyers remain limited.
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Glossary · PSX term
Lower lock.
Lower lock is a market limit where a stock reaches its maximum allowed downward move for a session. It can indicate selling pressure, but investors still need source-backed context.
More glossary terms
Browse all 199 terms →Liquidity
Liquidity is how easily you can buy or sell a stock without moving its price much.
Listing
Listing is the process of getting a company's shares admitted for trading on the exchange.
Limit order
A limit order sets the maximum price you will pay to buy or the minimum you will accept to sell.
Leverage
Leverage is using borrowed money to increase the size of an investment position.
Loss aversion
Loss aversion is the tendency to feel losses more painfully than equivalent gains.