Forex glossary

August 20, 2021 nenekpbn88

A B C D E F G H én J K L M N O P Q R S T U V W x Y Z

A
ADX (Average Directed Index) – A technical tool for measuring the strength of a trend. This index works on a scale from 0 to 100. 0 shows no trend at all. The closer the result is to 100, the stronger and more significant the trend. ADX does not indicate the direction of a trend, but only its strength.
Algorithmic Trading – Algorithmic trading is the process of trading using computer programs that follow certain commands to open and close trades. Algorithmic trading avoids human emotions and increases the speed of trading execution. In our MT4 platform, Expert Advisor is an example of algorithmic trading.
Arbitrage – In finance, arbitrage is the process by which a trader buys an asset at a lower price and sells it at a higher price in another market. The trader makes a profit because of the difference between the buy and sell prices
Ask for a price – Also known as a bid price (appears as the second part of a Forex quote). The price at which the market is ready to sell a particular currency pair. This is the price a trader has to pay to buy the base currency.
Aussie (AUD) – Aussie is a slang term used to describe the Australian dollar. If you’re looking for an etymology, the name Aussie is merely to distinguish it from other dollars, such as the U.S. dollar called Greenback. Similarly, the Canadian dollar is called Loonie.
B
Bar Chart – A common type of graphical representation of price transactions in Forex. Each bar consists of 4 points: Opening price, closing price, highest and lowest price for the period it represents.
Barack Obama – Barack Obama served as the 44th President of the United States from 2009 to 2017. He graduated from Columbia University in 1983 and then joined Harvard Law School in 1988. Previously, between 2005 and 2008, he served in the United States. Senate, which represents the state of Illinois in the Midwestern United States. He was the first African-American president of the United States.
Base Currency – The first currency of a forex pair is called the “base currency”. It is also called the “” primary currency. For example, for EUR / USD, EUR is a base currency and USD is a quoted currency. Let’s understand this through an example. If the EUR / USD is quoted at $ 1.0600, this means that you have to pay $ 1.0600 to buy Euros.
Bear Absorbent – In the study of candlesticks, a bearish absorbing pattern is formed when a small bullish candle is associated with a large bearish candle that shades or absorbs the previous candle. It shows the weakness of the buying trend and predicts the potential selling trend in the market. For example, buyers are exhausted and sellers are likely to enter the market.
Bear Market – A pessimistic market characterized by falling prices. There are more sellers than buyers in the bear market.
Ben Bernanke – Former head of the Fed (US Federal Reserve) since 2006. It is considered controversial, mainly due to the global economic crisis that began in the United States but was solid.
Buying Rate – The price at which the market is ready to buy a particular currency pair. This appears as the first part of a Forex quote and the price the trader receives when he sells the base currency.
Bid / Ask Spread – The difference between the bid price and the sale price.
BOC (Bank of Canada) – Established in 1935, the Central Bank of Canada is managed by Stephen Poloz. It is headquartered in Ottawa, Ontario, Canada. In addition to the central bank, it is the responsibility of price stability and economic growth.
BOE (Bank of England) – The central bank of the United Kingdom, established on 27 July 1694 and managed by Mark Carney. The BOE is at the heart of forex traders and stock market investors as it is tasked with controlling the money supply through monetary policy to achieve inflation, the unemployment rate and economic growth.
BOJ (Bank of Japan) – The central bank of Japan, established on June 27, 1882 and managed by Haruhiko Kuroda. In addition, the BOJ is nicknamed Nichigin. Like other central banks, the BOJ is at the forefront of forex traders and stock market investors, as it is tasked with controlling the money supply through monetary policy to achieve inflation, the unemployment rate and economic growth.
Bollinger Bands – Technical Indicators for Measuring Market Volatility. It was built from a bar that contains 3 lines: Middle, Top and Bottom. The centerline connects the average prices for a certain period of time. The support lines define the band of peaks and troughs in the presented period. Bollinger bands are good at identifying upcoming trends.
Outbreaks – These occur when the price breaks (support or resistance level). Outbreaks lead to severe foreign exchange movements and increasing volatility in the markets.
Brexit – Brexit is a combination of “Br” and “Exit”, where “Br” represents Great Britain and “Exit” stands for departure. The mixing of both leads to the “departure of Britain” from the European Union. He refers to the referendum on 23 June 2016, where British residents voted to leave the European Union.
Broker – An intermediary between buyers and sellers in the market. The broker executes the buyer’s buy and sell orders and charges the surcharge as a commission. Online allow everyone to easily participate in the market without having to act through banks.
Buck (USD) – Buck is a slang term used for the dollar. According to etymology, it is originally derived from the word “suede” which was used as a replacement in the 1700s. The United States .. The dollar became the leading currency after it was introduced after the Minting Act of 1792, although the term “Capricorn” is still used for the dollar.
Bullish Flood – When studying candlesticks, a bullish absorbing pattern is formed when a small bearish candle is followed by a large bullish candle that shades or absorbs the previous candle. It shows the weakness of the sales trend and predicts the potential buying trend of the market. For example, sellers are exhausted and buyers are likely to enter the market.
Bullish Market – An optimistic market characterized by rising prices. There are more buyers than sellers in the bull market.
Buy Limit – A buy limit order is a type of pending order that allows a trader to place instructions in the trading software (MT4) in order to buy a security at a specified price. It falls below the CMP (current market price) if the trader expects the price to bounce back after falling to a certain trading level. Here, the trader aims to buy at a low price and sell at a higher price.
Stop Buy – A buy stop order is a pending order that allows a trader to place instructions in the trading software (MT4) to buy a security at a specified price. It rises above the CMP (current market price) if the trader expects the price to rise further when a certain level is interrupted.
C
Cable – Cable is a slang term used by forex traders, especially to denote the exchange rate of the GBP / USD currency pair. According to etymology, the XIX. It dates back a century when the big cable was used to transmit exchange rates between the USD and GBP in the Atlantic. Since then, the cable has been used for GBP / USD reference.
Candlestick Chart – The most popular chart used in Forex. A nicer, more graphical version of the bar chart. It was built of candle shaped sticks. Green (or white) candles indicate upward trends and red (or black) candles indicate declining trends. Each candle shows the open, closing, high and low prices within a given time frame.
Carry Trade – A trading strategy that focuses on interest rates on traded currencies. The idea is to buy a currency with rising interest rates while selling a currency with falling interest rates. The gain comes from the growing difference between the two ratios. The JPY has been relatively very popular with Carry Trade over the years due to extremely low interest rates (usually at or near 0). The JPY is effective against rising interest rate currencies.
Central Bank – A government bank responsible for directing and directing the monetary policy of a country while maintaining the strength and stability of the currency.
CFD (Contract for Difference) – A derivative product that is generally traded in the financial market. In addition, it is called a contract between two parties (the buyer and the seller) and under this contract the seller is obliged to pay the difference (present value minus contract value) to the buyer, in which case the buyer settles the difference.
Channels – A great, easy-to-use tool, especially for beginners. It determines the price movement within a channel, helps to identify trends.
Commercial Bank – A commercial bank is a financial institution that acts as an intermediary between the depositor and the borrower in order to make a profit. In addition, commercial banks follow central bank guidelines and implement monetary policy.
Correlation – The term correlation is commonly used in statistics, but in the forex market it helps to understand the interrelationship between Forex currencies, commodities and indices. There may be a positive or negative correlation between trading assets. Positive correlation: There is a positive correlation if the prices of both instruments move in the same direction. For example, EUR / USD & A GBP / USD have a positive correlation. Negative correlation: There is a negative correlation if the prices of both instruments move in opposite directions. For example, EUR / USD & USD / JPY have a negative correlation.
CPI (Consumer Price Index) – A monthly report that measures the average change in the prices paid by urban households for the basic basket of consumer goods and services. The consumer price index is a good indicator of the level of market inflation.
Cross Hair – On the trading platform (MT4), the target cross is a very useful tool to find out the parallels (date, time & price) of the selected point on the chart or the number of cores between the two points. Use the mouse scroll key or Ctrl + F to activate the device.
Currency – A currency is a generally accepted currency issued and traded by the government and central banks. This can be in the form of coins and paper. Credit / debit cards are considered an advanced form of currency and are commonly referred to as plastic money.
Cross currency pairs – Currency pairs that do not include the US dollar, e.g. GBP / CHF.
Currency Pair – Two currencies that are used simultaneously in a trade (one is bought, the other is sold).
D
– Free trading account for practice (without real money transactions). Fantastic for beginners who want to get acquainted with Forex trading. Today, most brokers allow their users to open demo accounts so they can try them out on before placing real money.
Derivatives – A derivative transaction is an agreement between two or more parties whose value is controlled by an underlying financial collateral or asset. It aims to reduce the risk for investors in the form of changes in forex exchange rates, bonds, stocks, indices and commodities.
Doji – General type of candle holder . It is characterized by a lack of body and long shadows. It usually resembles a cross / inverted cross. In many cases, Dojis warns traders of changing market forces between buyers and sellers.
Dollar Index – A dollar index is an index that measures the value of the U.S. dollar against its counterparts ’basket of currencies. The symbol of the ticket is USDX, DXY. It contains six indices for calculating the index using the weighted geometric mean. Euro (EUR), Japanese Yen (JPY), Pound Sterling (GBP), Canadian Dollar (CAD), Swedish Krona (SEK), Swiss Franc (CHF).
Donald Trump – Donald John Trump is the 45th elected president of the United States. He graduated from the Wharton School of the University of Pennsylvania in 1968 with a degree in economics. Formerly a businessman, politician and television personality. As president of the largest economy, he focuses on the future prospects of U.S. financial and economic systems to investors around the world.
Dot Plot – The scatter plot shows the performance of sixteen members of the FOMC (Federal Open Market Committee). It is published in one year after each Fed meeting. The point plot turned into the most accurate press releases as it gives a fairly clear picture of the next steps for Fed officials.
Double Bottom – The Double Bottom is a technical analysis term. Refers to a pattern in the chart that resembles “” W “”. It develops when the price keeps falling and bounces back from a certain level. This pattern is bullish in nature as it shows a weakness in the sales trend and predicts a potential buying trend in the market. This is exactly the opposite of the double top pattern. For example, if the price of gold drops twice from $ 1,260 and bounces back. This translates to $ 1,260 as a double bottom level, which means we may experience another setback or buying behavior if prices test this level in the future.
Double Top – Double Top is a technical analysis term that refers to a chart pattern “” M “” resembling a figure. It occurs when prices successively peak and fall from a certain level. The pattern is bearish in nature as it shows the weakness of the buying trend and predicts the potential selling trend of the market. For example, the price of gold peaked and plummeted to $ 1,270 twice. That’s $ 1,270 for a double top level. This means we may experience another decline or selling behavior if prices test $ 1,270 in the future.
Dovish – Dovish refers to a voice that indicates a specific action. More specifically, it is associated with a situation where decision-makers aim to increase the money supply by lowering interest rates, reserve interest rates and / or expanding open market operations. Consequently, the dovish tone used by the central bank weakens the currency.
Decline – A trend whose general direction is declining. It is also called bear trend.
Dynamic support – Dynamic support refers to the lower limit of a trend or a level at which the current downward trend is expected to stop as the price finds “support”, but this support is not static and constantly adapts to market fluctuations. Trend indicators, including moving averages, Bollinger Bands, and Ichimoku, are some examples of dynamic support and resistance.
E
ECB – The European Central Bank
Economic Calendar – An important feature of a trading platform. In summary, it presents all major economic announcements and announcements, as well as other key events around the world that may have an impact on the market.
Elliot Wave – General Trading Pattern. Identifying the Elliot Wave allows the trader to predict trends with high probability. The pattern consists of 8 waves. The first 5 build a trend and the next 3 belong to the opposite trend.
Flood Bar – When inspecting candle holders, an absorbing rod is formed when a small candle is accompanied by a large candle in the opposite direction, which shades or absorbs the previous candle. It shows the weakness of the trend and predicts a possible reversal of the market. There are two types of receiving rods: bullish and bearish absorbing rods.
Enter Trading – Start a trading activity by opening a position (buying or selling a currency pair).
Exchange Rate – In the Forex market, the exchange rate refers to the exchange rate at which one currency can be converted into another currency. For example, the $ 1.0600 exchange rate of EUR / USD means that you have to pay $ 1.0600 to buy euros.
Exit Trading – End a trading activity by closing a position.
Expert Advisor – The Expert Advisor is an add-on to our trading software called Metatrader 4. It follows algorithmic trading rules and automatically enters trading if certain conditions are met.
Exponential Moving Average – In technical analysis, the exponential moving average (EMA) is a trend indicator that is the same as the simple moving average, with the only difference being that it gives more weight to the most recent prices. In forex trading in the 100 & 200 period, EMAs are widely used by traders to identify market trends.
F
Counterfeits – Fictitious outbursts. These occur when the price breaks a support or resistance level but immediately returns to the previous direction.
Fiat Currency – The Fiat currency is the currency of a legal tender issued by the government but not supported by any physical commodity. The exchange rate of fiat money depends on the demand and supply factor. For example. better economic conditions lead to a stronger currency in the market.
Fibonacci – He is considered by us to be the most popular technical indicator of Forex. Indicates a change in the balance of power between sellers and buyers. Fibonacci ratios can be used to predict whether the market will be bullish or bearish. Notable rotation points: 38.2%, 50% and 61.8%.
FED – The Federal Reserve, the central bank of the United States
Financial asset – In finance, financial assets are those that have a monetary value and are tradable. For example, checks, bonds and bills. However, in the world of forex, financial derivatives such as futures contracts and options are known as the most important financial instruments.
Fiscal Policy – A basic economic policy pursued by governments for the benefit of their economies.
FOMC (Federal Open Market Committee) – FOMC stands for Federal Open Market Committee. It is a subsidiary of the Federal Reserve of the United States and is responsible for controlling the money supply through open market operations to achieve key inflation, unemployment, and economic growth.
Forex (FX) – FX is a short form of foreign eXchange and refers to the market where currencies are traded.
Forex Signs – A forex sign indicates that a signal provider, which may be a forex trader or analyst, may place buy / sell trades on a particular currency pair, commodity or index at a specific price and time. Learn here.
Futures Contract – A futures contract is a non-standardized contract and an obligation to buy or sell a particular security at a pre-determined price at a specified future date. It aims to reduce risks in the form of changes in forex exchange rates, bonds, equities, indices and commodities. It’s also “forward straight”.
Basic Analysis – Analyzes economic, political, and social events to identify current and future economic trends. In other words, the basic approach analyzes the sources of exchange rates measured in foreign currency.
Futures Contract – A futures contract is a derivative that refers to a legal contract and an obligation to buy or sell a particular security at a specified price in the future at a specified time. It aims to reduce the risk for investors in the form of changes in forex exchange rates, bonds, stocks, indices and commodities.
G
G 8 – A group of the most developed countries in the world. G8 staff: USA, Japan, England, Germany, France, Italy, Russia and Canada.
Gaps – Gaps refer to an area where the price of a currency, stock, index, or commodity moves sharply in a bullish or bearish manner, leaving no signs of trading between the candlesticks or the columns of the security chart. It is usually caused by a sudden change in market funds.
GDP (gross domestic product) – Total value of all goods and services produced on the market (excluding imports). GDP helps measure market living standards. Negative data means a weakened economy.
Go Long – Purchase Sale. The trader buys a currency pair, hoping its value will increase.
Go short – Sales promotion. The trader is selling a currency pair, hoping it will depreciate.
Defenders – Greenback is a slang term used for “Paper US Dollar” but is often used by traders to refer to the USD in forex trading. According to etymology, back in 1861–1862, during the American Civil War, the American government issued green-printed banknotes and has since been called Greenback.
H
Dependent Man – An addicted person is a bullish reversal pattern that develops after a bullish trend and is seen in candlestick patterns. The design of the candle is the same as a hammer – it has a long lower shadow (wick), a small upper body and little or no upper shadow (wick). This shows the weakness of a bullish trend and symbolizes a potential selling trend in the market. However, the main difference between a hammer and a hanging man is that the hammer is bearish, while the hanging man is followed by a bullish trend.
Haruhiko Kuroda – Haruhiko Kuroda, President of the renamed Central Bank of Japan “Bank of Japan” on March 20, 2013, previously served as President and President of the Asian Development Bank. It was between February 2005 and March 2013. He was also Deputy Minister of Finance from 1997 to 2003.
Hawkish – Hawkish refers to the voice that is associated with a situation where policymakers reduce the money supply by raising interest rates, raising reserve rates, and expanding open market operations. Consequently, the hawkish sound from the central bank strengthens the currency.
Head and shoulders – Can be considered a relatively reliable and accurate chart pattern in long-term trading. It was built of 3 peaks, while the second peak (the head) is the highest (or the lowest at the head and shoulders of the head). The other 2 peaks are about the same height – the shoulders. The head and shoulder pattern is a good sign to be short (or long if head and shoulders are pointing up).
Hedging – A hedging process is the process of managing transactions solely to reduce the risk of loss due to market fluctuations. For example, sell & buy EUR / USD if the trend reverses.
I
ICBC – Bank of China for loans. The world’s largest commercial bank (by market capitalization).
Inflation – An increase in the price of goods and services in a market. Because of inflation, a soda can that cost 10 cents 20 years ago costs $ 1 today. Inflation weakens the performance of the currency. The central bank is responsible for controlling inflation by manipulating interest rates and the money supply.
Interest Rate – The market rate at which the buyer (or borrower) must pay the seller (or lender) in order to continue to hold the currency. Interest rates affect the performance of all currencies in the Forex market. Rising interest rates cause currencies to strengthen, while falling interest rates cause currencies to weaken.
Intraday Trading – Trading strategy in the very short term. A dynamic activity in which traders open and close positions for hours on top of a single day.
Reverse Hammer – A. In his study of , the inverted hammer is a bullish reversal pattern that develops after the market bearish trend. This is exactly the opposite of “Hammer” because it has a long upper shadow (wick), a small lower body and little or no lower shadow (wick), so it is an “Reverse Hammer”. In addition, it shows the weakness of the sales trend and indicates a potential buying trend in the market.
Investing – Investing means dividing money into various trading instruments (forex, commodities and indices) to make a profit.
Investor – An investor is a person who invests or allocates money in various trading instruments (forex, commodities and indices) in order to make a profit.
J
Janet Yellen – Janet Yellen has been the President of the designated Central Bank of the United States or Fed since February 3, 2014. Between 2010 and 2014, he was a U.S. economist and vice president of the Fed. He earned a Ph.D. in Economics from Yale University in 1971. As president of the Fed, he influences monetary policy in controlling price stability and economic growth in the United States.
K
Kiwi (NZD) – Kiwi is a slang term used for the New Zealand Dollar (NZD). Its name is “Kiwi” which is embossed on the back of a New Zealand coin
L
Leverage – The percentage of money allowed from a “loan” broker to open a position. Think of it as “credit” from your broker. This helps traders to trade larger quantities for a smaller amount. The more you use your money, the greater the chance of profit and the risk of losing trading.
Line Chart – Line charts show general price movements over a period of time. The line links the closing price of the assets for the selected period. However, it is less recommended to use than other types of charts.
Liquidity – Refers to the amount of trade in the market. This is an option to exchange currencies without really affecting the price of the pair. The more liquid a currency pair is, the less it will affect the price of buying and selling shares.
Live Quotes – Real-time currency pair quotes.
Long Term Trading – Trading positions that last from one week to a few months. Long-term trading is considered an investment strategy. Long-term traders usually rely on basic analysis, high amounts of capital, and very low levels of leverage.
Loonie (CAD) – Loonie is a slang term used for the Canadian dollar (CAD). Its name is “Woodpecker” which is embossed on the back of the Canadian coin.
Many – The usual trading unit for traders. Micro Lot – The smallest tradable item size: 1000 currency units. Mini lot – smaller lot size: 10,000 currency units. Normal item – 100,000 currency units.
M
MACD (Moving Average Convergence / Divergence) – A technical indicator that measures the average of prices (average between EMA and SMA) over different periods. MACD helps identify trends.
Majors – The most common currency pairs in the world. The most important currency pairs are those in which the trading volume is the largest. The main currency pairs consist of eight currencies: EUR, GBP, AUD, NZD, USD, CAD, CHF and JPY.
Marabuzo – A general type of candlestick characterized by a full body without shadows.
Margin – A deposit required for trading with a certain amount. Higher margins increase your purchasing power and exposure to potential losses.
Margin Call – A broker’s need for additional funds to cover open positions floating in a loss. Typically, brokers offer 20% and 10% discounts.
Mario Draghi – Mario Draghi has been President of the European Central Bank since 1 November 2011. An economist who also worked at Goldman Sachs from 2002 to 2015. He also earned a Ph.D. from economics, he was a fellow at the Massachusetts Institute of Technology (MIT) in 1976. As President of the ECB, he influences monetary policy in order to monitor price stability in the euro area.
Mark Carney – Mark Joseph Carney, president of the UK’s central bank, named 2013. Since 1 July, economist, formerly named the also gained economic and doctorate at Oxford St Peter’s College in 1993 and in 1995 ..
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Market risk – The chance of future price changes in the market currency.
Micro lot – In forex trading, the micro lot refers to 1/100 of the standard lot (100,000) or 1,000 units of the base currency. Generally, this is the smallest trading volume that can be traded in the forex market.
Mini Item – In forex trading, a mini item refers to 1/10 (100,000) of the standard item or 10,000 units of the base currency. The pip is worth $ 1 for the mini item.
Money Management – Controls how much you risk when you enter a trade. A good cash management approach is to always risk a fixed percentage of equity that cannot be higher than 10% per position. Smart money management is exactly what prevents us from losing all our capital at once.
Moving Averages – An affective technical indicator that links price averages over different periods. It points in the direction of a possible trend.
MPC (Monetary Policy Committee) – A branch of the called the (BOE ) and is responsible for managing the money supply through interest rates and open market operations to achieve inflation, the unemployment rate and economic growth.
Market Mood – The market mood for the psychology of total mass, or “market mood” at a given time. It can be bullish (positive), bearish (negative) or relatively neutral. Market sentiment may affect certain stocks, commodities or currency pairs. Atmosphere often forces markets to move away from what can be considered fair value. A good example of this is when a particular commodity is booming or when a stock gets positive news.
N
NFP (non-agricultural payroll) – Change in the number of employees in the market in the last month. Indicates the general economic condition of the market.
O
Open Market Operations – Open Market Operations (OMOs) are a monetary policy instrument that refers to the buying and selling of bonds and government securities on the open market to control the money supply of the economy. For example, a central bank buys government securities if it wants to increase the money supply of the economy, and vice versa.
Order – Commercial Execution
Overbought – Market conditions for overbought . Indicates that momentum will soon change in favor of sellers.
Oversold – Market conditions for overselling. Indicates that momentum will soon change in favor of customers.
P
Parabolic SAR – A popular technical indicator for predicting upcoming trends. Its location relative to the market price determines whether it goes long or short (buy or sell). Parabolic SAR has an impact on volatile markets and works well with strong trends.
Pending Order – A pending order is which allows traders to place instructions in the software to allow trades to be executed as soon as specific market conditions are met. There are four types of pending orders; Buy Limit, Sell Limit, Stop Stop and Sell Stop.
Philip Lowe – Philip Lowe is the Governor of the Reserve Bank of Australia, renamed “Reserve Bank of Australia” on 18 September 2016. He was an Australian economist, formerly Deputy Governor of Stevens since 2012. In 1994, he received his doctorate from the Massachusetts Institute of Technology (MIT).
Pinbar – In the study of candlesticks, the pin bar is the only candlestick that indicates to traders a possible reversal of the market. The pin has a small body, but a long wick is usually twice the size of the body of a candle, and by its nature it is an inverted candle.
Beep – The lowest price units in the quote. This is the fourth number after the decimal point in most quotes. The 1 pip change is 0.0001 price movement.
Political Risk (Polirisk) – The degree of exposure to political risks that may increase government instability and affect investor activity and currency performance.
Pound (GBP) – The pound is the monetary unit of the United Kingdom, represented by £ (GBP) and derived from the value of the weight (pound) of a silver.
Price Operation – In studying technical analysis, Price Operation is a trading strategy that provides tables, candlesticks, swings (high & low), support and resistance to predict future price and trend. It helps traders identify buy / sell trading levels in order to profit from forex trading.
Price – “Price” refers to a situation in which the asset has already taken into account publicly available information, forecasts and forecasts. However, the market may turn around in the wake of other factual information.
Psychology – An important element in Forex. One of the main keys to the success of Forex is the elimination of emotions while trading. An experienced trader knows how to trade in a proper state of mind.
Q
QE (quantitative easing) – An expansionary monetary policy in which a central bank seeks to increase the money supply of the economy by buying government securities and bonds from the market for economic growth.
Quote (Counter) Currency – Unlike the base currency, the second currency of a forex pair is called a quote currency. This is also referred to as “” secondary currency or account currency. For USD / CAD, the USD is the base currency and the CAD is the quoted currency. If the price of USD / CAD is $ 1.3300, that means you have to pay 1.3300 Canadian dollars to buy a US dollar.
R
Rally – A price decrease that occurs after a period of decline.
Variable (flat) trend – A side trend that represents uncertain market conditions. None of the market forces (sellers or buyers) are dominant.
RBA (Reserve Bank of Australia) – The Central Bank of Australia, established on 14 January 1960, and managed by Philip Lowe. It is headquartered in Sydney, New South Wales, Australia. In addition to the central bank, it is the responsibility of price stability and economic growth.
Recession – A period of lasting economic contraction. The recession is influenced by fundamental socio-economic factors such as industrial production, GDP and much more.
Rejection Candle – In ban , a rejection candle refers to a pin, hammer, inverted hammer, shooting star, or a candlestick pattern of an addicted person that indicates a possible reversal of the trend. The rejection candle potentially directs the bullish trend to the bearish trend and the bearish trend to the bullish trend.
Reserve Bank of New Zealand (RBNZ) – The Reserve Bank of New Zealand (RBNZ) is the central bank of New Zealand. It was established in 1934 and is directed by Graeme Wheeler. Like other central banks, RBNZ receives a lot of attention from forex traders and stock market investors. This is because it controls the money supply through monetary policy in order to achieve inflation, the unemployment rate and economic growth.
Reserve rates – An instrument of monetary policy that requires all commercial banks to hold a proportion of their deposits with the central bank in order to avoid liquidity risk. The higher the reserve interest rate, the more the money supply in the economy decreases and vice versa.
Resistance Level – The upper limit of the trend (customer ceiling). The level at which the current uptrend is expected to stop as price rises meet with “resistance”.
Retail Turnover – Monthly report on nationwide sales of retail products and goods.
Reversal patterns – In the forex market, reversal refers to a change in the direction of a price trend, while a reversal pattern refers to a change in the exchange rate, reversible candlesticks, and various chart patterns that reverse or could reverse the exchange rate of a currency pair. For example, in the analysis of the candlestick, the hammer, the inverted hammer, the shooting star, and the test rod are some examples of the inversion pattern.
Risk Management – Currency risk management allows a trader to define himself as a trader in proportion to the risk and chance. Intelligent risk management controls the risks that a trader wants to take throughout his trade. Risk management should define your . It is designed to preserve the value of foreign exchange inflows and investments, while allowing you to handle initial transactions.
RSI (Relative Strength Index) – A technical indicator that operates on a scale of 0 to 100. Area below 30 indicates a buy option and an area above 70 indicates a sell option.
S
The term safe haven refers to a situation where, in times of market uncertainty, an investor is looking for safer assets in which to invest. As a result, we are experiencing sales on the stock exchanges and an increase in demand for precious metals & safe haven currencies.
Safe Haven Currency – In times of uncertainty in the forex market, investors can attract the safe haven by investing in gold and other forex currencies. The most popular safe haven currencies are the Japanese yen and the Swiss franc. The most important haven currency pairs are USD / JPY & USD / CHF.
Sanctions – Sanctions apply to measures taken by one country or countries against other countries for political reasons, resulting in a loss of business and a reduction in the attractiveness of the currencies involved. Sanctions apply to measures taken by one country or countries against other countries for political reasons. business losses and declining attractiveness of related currencies.
Scalping – A very frantic strategy for short, intraday trades. Based on the opening of many positions, when the income potential from a single position is small, but the total earning potential from many winning positions is high at the same time. The helps reduce risks, but the disadvantages are the high demand for trading capital and the high number of spreads paid to brokers.
Sell Limit – A sell limit order is a type of pending order that allows a trader to place instructions in the trading software to buy a security at a specified price. It rises above the CMP (current market price) if the trader expects the price to fall after rising to a certain trading level. Here, the trader wants to sell at a high price to buy at a lower price.
Sell Stop – A sell order is a pending order that allows a trader to place instructions in the trading software (MT4) to purchase a security at a specified price. It falls below the CMP (current market price) if the trader expects the price to fall further when a certain level is interrupted.
Mood Analysis – A study of predicting the psychology or diversionary behavior of a crowd to determine the direction of a security’s price movement. Mass psychology often stems from the expectation of a result. This type of trading strategy is called .
Shinzo Abe – Shinzō Abe Prime Minister of Japan 57th and 63rd since 26 December 2012. For health reasons, he resigned on September 12, 2007 and is honored to be the longest-serving prime minister in Japanese history. In addition, the “Three Arrows” introduced a policy called Abenomics to combat deflation and economic growth in Japan.
Shooting Star – In , Shooting Star is a bearish reversal pattern that develops following a bullish bullish trend in the market. This is the same as the “Reverse Hammer” in that it has a long upper shadow (wick), a small lower body, and little or no lower shadow (wick). In addition, it shows the weakness of the buying trend and indicates a potential selling trend in the market.
Short entry – A short entry is a slang term used in forex trading to denote a sell position. It is also used in “short circuit” trade. Similarly, “Long Entry” or “Long Lasts” is used for receive positions.
Short Sale – A short transaction is a financial term that refers to a sale. In forex trading, this is a market situation where the trader has sold a currency that is not its owner. This helps investors make a profit from any news, speculation or analysis if they sell a currency in advance to buy it back at a lower price. The difference between the selling price and the purchase price counts as a profit or loss for the trader, depending on the closing price.
Short-term trading – Trading strategies focus on short periods (daily trading up to a few weeks high).
Signal (market alert) – Trade alerts are coming from the market.The services allow the trader to track and copy trading operations and executions from experienced traders with a high percentage of successful trades. FX executives offer FREE market alerts to our users about different currency pairs!
SNB (Swiss National Bank) – The Swiss National Bank is the central bank of Switzerland and commenced business on June 20, 1907. The current president is Thomas Jordan. It is headquartered in Bern and Zurich. In addition to the central bank, it is the responsibility of price stability and economic growth. The Swiss National Bank is the central bank of Switzerland and commenced business on June 20, 1907. The current president is Thomas Jordan. It is headquartered in Bern and Zurich. In addition to the central bank, it is the responsibility of price stability and economic growth.
Speculation – Speculation is the process of forecasting future prices and starting to trade, which has a significant risk of loss but also the potential for profit. The investor seeks to take advantage of short-term market fluctuations as a result of macroeconomic and political events around the world.
Whirlpool Snail – In candle holder samples, the rotating top refers to a type of candle that has a small but long shadow body. This demonstrates the indecision or neutral judgment of buyers and sellers as the trend continues.
Spread – A spread is the difference between the buying and selling price of a currency, commodity or index. It can also be defined as the difference between the buy and sell price. It is therefore known as the profit of brokers.
Standard Item – The standard item in forex trading is 100,000 units of the base currency. For example, a standard EUR / USD item means that investors have bought 100,000 euros.
Statistical Arbitrage – In financial markets, statistical arbitrage is also known as StatArb. In contrast to simple arbitrage, traders make sales decisions based on erroneous pricing of assets. Traders use mathematical modeling techniques or different trading strategies to identify market price gaps.
Stephen S. Poloz – Stephen S. Poloz is President of the Central Bank of Canada, renamed “Bank of Canada” as of June 3, 2013 with a Ph.D. and graduated from the University of Western Ontario and Queen’s University. 9th Governor of the Bank of Canada.
Sterling (GBP) – Sterling is a slang term used for the British pound. If you’re wondering why it’s called a pound, it’s because the British pound coin once weighed a troy pound of sterling silver, so is “Sterling”.
Stochastic – A technical indicator that shows the exceeded and overbought areas on the chart. 20% of the subsurface area is an oversold condition and an area above 80% is an overbought condition. Stochastics is considered a relatively good buy and sell alert provider.
Stock Index – A stock index is the average of the various stock prices listed and traded on a stock exchange. One of the main indicators is considered to be the performance of the entire stock market of the economy. For example, the S&A P 500 is a stock index that represents the performance of the NYSE (New York Stock Exchange).
Stop Loss Order – An exit order that automatically closes an open position at a pre-determined price set by the trader. Stop Loss limits any losses if the market goes against you.
Demand / supply ratio – The difference between the quantity of goods and services supplied and the demand for them. As demand increases or supply decreases, the value of goods or services (e.g., currency) increases.
Support Level – The lower limit of the trend (Sellers Floor ). This is the level at which the current downward trend is expected to stop as the price finds “support”.
Swaps – A swap is a fee that a broker charges a client for overnight positions. A forex swap is the interest rate differential between two currency pairs that an investor trades and is determined based on its long or short position. For example, if a currency pair has a positive swap value, it earns interest by holding that position on a daily basis. If the exchange value is negative, you will have to pay that much to maintain that position. This is based on the interest rate differential between the two currencies of the pair as well as the current price of that pair.
Swing Trade – A short-term trading strategy, usually lasting from a few days to a week. The aim of this strategy is to build on existing market trends and make the most of them in order to make a relatively quick profit while responding quickly to changes in market behavior.
Swissie (CHF) – Swiss is a slang term used for the Swiss franc (CHF).
Symbol – 3 letters used to identify the currency. These include the country of origin and the name of the currency, e.g. USD (US Dollar); EUR (Euro), JPY (Japanese Yen).
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Take Profit Order – An Exit Order that automatically closes an open position at a pre-determined price set by the trader. When the price reaches this rate, the trade closes with a predetermined profit.
Technical Analysis – The technical approach uses tools, technical indicators, formulas, and patterns on charts in order to predict future trends and changes in currencies. It analyzes trends, not the reasons why they happen.
Theresa May – Prime Minister of the United Kingdom and leader of the Conservative Party since 11 July 2016. He was preceded by David Cameron, the former Prime Minister of the United Kingdom, who resigned after Brexit. Member of Parliament since 1997.
Thomas Jordan – Thomas J. Jordan is the Chairman of the Board of the Swiss National Bank called the SNB (Swiss National Bank). He was elected President on April 18, 2012. He received his doctorate in 1993. degree in economics and business studies from the University of Bern.
Timeframe – Traders can choose to view trading charts in different timeframes. For example, suppose you choose a 30-minute chart – this means that each candle represents the trading activity in 30 minutes. The most popular time frames are 15 minutes, 1 hour and 1 day.
Trading Account – Your trading capital on the online trading platform. Trading Book – A diary that you compile to manage and track your trading activity while keeping track of activities, thoughts, results, and anything that can improve your future trading.
Trading Platform – Online software provided by the broker. trading transactions, order execution and account management. Therefore, it is important to choose the right broker.
Trend – In the forex market, the trend refers to the long-term, medium-term and short-term direction of the price of a currency pair. For example, EUR / USD was still trading at $ 1.3990 in May 2014 and continued its downward trend for more than 2 years, trading at 1.0348 in January 2017. In addition, the trend can be up, down or sideways.
Trend Line – One of the simplest, most basic tools for a trader to use on a trading platform. Connects a group of exchange rates within the selected time frame (either at a lower or lower price). The more points you connect, the more stable and reliable the trend will be.
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Rise – A trend with a general upward direction is also called a bull trend.
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Vladimir Putin – Vladimir Vladimirovich Putin has been Russia’s 2nd and 4th presidents since May 7, 2012. He was born on October 7, 1952, and studied law at St. Petersburg State University, graduating in 1975. He has previously been Russia’s prime minister twice. From 1999 to 2000 and again from 2008 to 2012.
Volatility – Describes the level of price volatility in a currency pair. Higher volatility indicates greater uncertainty in market expectations.