The indicative price is the expected opening price of a stock on a trading day, based on the buy and sell orders submitted before the start of trading. This price provides an indication of where the stock may open, but is entirely non-binding and may change as new orders are received or market conditions change.

Similar terms:

• Price target: The price at which analysts expect a stock to trade at a certain point in the future.
• Target price: A price that serves as a guideline for traders, usually based on technical analysis.
• Intervention rate: A rate set by a central bank at which it will intervene to support the value of a currency.

Knowing the advisory rate helps investors estimate the expected market opening and determine their trading strategy for the day.