Assets

A financial instrument that is capable of being exchanged between investors.

Ask Price

The Ask price is the price at which a seller is prepared to accept an offer.

Analysis

A comprehensive assessment of the market’s components or structure. Typically, this is accomplished by technical and fundamental analysis.

Bid Price

The bid price is the price at which market participants are willing to buy the assets.

Bonds

A bond is a financial instrument that is used by government and private entities to borrow money from the public to repay the money over a certain period with interest.

Candlestick Chart

A candlestick chart is a kind of chart that displays the starting and closing prices, as well as the highs and lows of the price range for a certain time period.

Contracts

Contracts are the volume of transactions in the financial trading market. The contract may be assessed differently depending on the market and the asset. Currency contracts, for example, are made in lots, but gold is exchanged in ounces.

Currency Pairs

The rate at which two currencies swap. Currency pairings are classified into three categories: Major, Minor, and Exotic.

CFDs

Contract for Difference is an acronym for Contract for Difference. CFDs are tradable financial derivatives that allow investors to speculate on the market without actually owning the underlying asset. Typically, CFDs are traded utilizing leverage.

Day Trading

Day Trading is a trading approach in which deals are made and closed inside the same trading day. Avoiding exchange costs is one of the perks of day trading.

Decentralized

This means that no organization, such as a central bank or a central exchange, controls the asset or market. Digital currencies are a decentralized market since they are built on blockchain technology, which results in each investor holding a copy of the blockchain.

Fundamental Analysis

Fundamental Analysis is a technique for market analysis that is centered on determining how economic data and events impact the supply and demand for an asset, and hence the price.

Futures

Futures are derivative instruments, which means that traders speculate on price fluctuation without owning the underlying asset.

Hammer Calendstick

In reference to a candlestick with a little high body and a long tail or shadow.

Initial Margin

This is the bare minimum capital necessary to begin a trading position in the market. Typically associated with leveraged items.

Interbank market

The interbank market is a worldwide network primarily utilized by financial institutions to exchange currencies and other currency derivatives.

Japanese Calendsticks

A kind that certifies the opening, closing, high, and low prices.

KYC

A procedure for officially identifying your customer in compliance with local rules, either before or concurrent with the moment they begin doing business with you. This is often accomplished via the presentation of identification and evidence of address.

Lot

When trading foreign currency, a lot refers to the magnitude of the deal. A Lot is equivalent to 100,000.

Leverage

Leverage occurs when a broker raises your purchasing power, allowing you to trade bigger amounts with a fraction of the cash necessary. This raises both the possibility and the danger.

Margin Call

This is a notice that traders get when their account falls below the required minimum capital. This provides traders with an opportunity to act before the minimum is met. If the minimum is met, the platform will begin closing deals automatically.

Mutual Funds

A pooled investment in which the fund seeks to diversify its risk exposure across several assets and markets.

Options

A derivative product is one in which you may trade and speculate on the price movement of an item without really owning it.

OTC

OTC stands for Over the Counter. Refers to investment goods that are often exchanged via a broker or other kind of intermediary.

Pip

Following the decimal point comes the fourth digit. Known as the pivotal point of movement in a currency exchange

Pair

The worth of one currency in relation to another.

Pivot Point

The point at which the price of an asset changes direction, which might be a support or resistance level.

Slippage

When a deal is opened at a price that differs from the specified price, often due to very high volatility.

Swap

A per-trade overnight charge.

Swing Trading

Swing Trading is a short-term trading method in which the trader seeks to profit from market fluctuations lasting more than a day but less than a week.

Scalping

A trading strategy focused on very short-term investments.

Take Profit

A stop-loss order is placed when the market moves in your favor and reaches a specified price. Utilized to ensure profit.

Trend

The asset’s price moves in a single broad direction.

Technical Analysis

The movement of the price, the charts, and technical indicators are analyzed.

Technical Indicators

An indication is added to the chart using mathematical calculations based on price movement, momentum, and historical patterns to provide the user with additional trading signals.

Volatility

The amount by which the price of an asset or currency changes.