What is Open Price ?

Definition:

 It is the price at which the financial security opens in the market when trading begins. It may or may not be different from the previous day's closing price. The security may open at a higher price than the closing price due to excess demand of the security.

Description:

 Suppose a financial security closes at Rs 565.20 on Monday and opens at Rs 565.20 on Tuesday. In this case the open price is the same as the closing price of the previous day.

On the other hand, if the security opens at Rs 567.30 on Tuesday, then open price is said to be different from Monday. Thus, the price in the beginning of trading sessions is called open price or simply open

 

Credits :EconomicTimes