Trading
Glossary

Authority for the Financial Markets - The Netherlands' financial regulatory authority.

Autorité des Marchés Financiers - France's financial markets regulator.

Australian Securities and Investments Commission - Australia's top-tier financial regulator.

The price at which a seller is willing to sell a security. Also known as the offer price.

Forex slang for the Australian Dollar (AUD) or AUD/USD currency pair.

Federal Financial Supervisory Authority - Germany's top-tier financial regulator.

A trader who expects prices to fall, or a market experiencing declining prices.

The price at which a buyer is willing to purchase a security.

Non-standard settlement dates in forex that don't match typical market conventions.

A fraudulent brokerage that doesn't execute real trades, instead betting against its own clients.

A trader who expects prices to rise, or a market experiencing rising prices.

Forex slang for the GBP/USD currency pair, one of the oldest and most traded pairs.

Central Bank of Ireland - Ireland's financial services regulator under EU framework.

Commodity Futures Trading Commission - US regulator for derivatives and forex.

Forex slang for the EUR/GBP currency pair, named after the Channel Tunnel.

Cayman Islands Monetary Authority - Offshore regulator with moderate oversight.

Money that has been fully processed and is available for trading or withdrawal.

Comisión Nacional del Mercado de Valores - Spain's securities market regulator.

Commissione Nazionale per le Società e la Borsa - Italy's securities regulator.

A derivative product that allows you to speculate on price movements without owning the underlying asset.

Two currencies quoted against each other, showing how much of one currency is needed to buy the other.

Cyprus Securities and Exchange Commission - Popular EU regulator for forex brokers.

Buying and selling financial instruments within the same trading day, closing all positions before market close.

Dubai Financial Services Authority - Regulator for the Dubai International Financial Centre.

The decline from a peak to a trough in account value, measuring the loss from highest to lowest point.

An electronic system that matches buy and sell orders directly between participants instead of routing them through a dealing desk.

The total value of a trading account including the balance plus or minus any unrealized profits or losses.

European Securities and Markets Authority - EU-wide regulator setting rules for all member states.

Financial Conduct Authority - UK's top-tier financial regulator, globally respected.

Forex slang for the EUR/USD currency pair, the most traded pair in the world.

Swiss Financial Market Supervisory Authority - Switzerland's top-tier financial regulator.

Financial Markets Authority - New Zealand's financial services regulator.

The global market for trading currencies. The world's largest financial market.

The future date when a forward forex contract will settle and currencies will be exchanged.

Financial Services Authority of Seychelles - Offshore regulator with minimal oversight.

Financial Services Commission of the British Virgin Islands - Offshore regulator.

Financial Services Commission of Mauritius - Offshore regulator in the Indian Ocean.

Financial Sector Conduct Authority - South Africa's financial markets regulator.

The ten most heavily traded and liquid currencies in the forex market.

Slang term for the USD/JPY currency pair, used by forex traders.

A position taken to offset potential losses from another position, reducing overall risk exposure.

International Financial Services Commission of Belize - Offshore regulator with light oversight.

A non-binding price quote that shows an approximate market rate but cannot be traded on directly.

A charting method showing open, high, low, and close prices that reveals market sentiment and potential reversals.

Japan Financial Services Agency - Japan's strict financial regulator with very low leverage limits.

Forex slang for the New Zealand Dollar (NZD) or NZD/USD currency pair.

The bid side of a two-way price quote. Selling "on the left" means selling at the bid price.

Using borrowed capital to increase the potential return of an investment. Amplifies both gains and losses.

Buying an asset with the expectation that its price will rise.

Forex slang for the Canadian Dollar (CAD) or USD/CAD currency pair.

A standardized trading unit. In forex, a standard lot is 100,000 units of the base currency.

The collateral required to open and maintain a leveraged trading position.

A broker's demand for additional funds when account equity falls below required margin levels.

A firm or individual that quotes both buy and sell prices to provide liquidity in financial markets.

Monetary Authority of Singapore - Singapore's central bank and top-tier financial regulator.

A cryptocurrency created as a joke or based on internet memes, often with no utility but high speculation.

Malta Financial Services Authority - EU regulator popular with fintech and gaming companies.

Financial abbreviation for million. Commonly used in banking, trading, and finance.

The difference between long and short positions in a particular instrument or market.

National Futures Association - US self-regulatory organization for futures and forex.

A forex transaction for delivery on any date other than spot, not part of a swap.

The smallest price movement in a currency pair. Typically the fourth decimal place (0.0001).

The second currency in a currency pair, showing how much of it is needed to buy one unit of the base currency.

Australia's central bank responsible for monetary policy, currency stability, and the Australian Dollar.

A price level where selling pressure tends to overcome buying pressure, preventing further price increases.

The ask/offer side of a two-way price quote. Buying "on the right" means buying at the ask price.

Securities Commission of The Bahamas - Offshore regulator in the Caribbean.

Securities and Exchange Board of India - India's securities market regulator.

Securities and Exchange Commission - US regulator for securities markets.

Securities and Futures Commission - Hong Kong's top-tier financial regulator.

Selling an asset with the expectation that its price will fall, allowing you to buy it back cheaper.

The difference between the bid and ask price. A key trading cost in forex and CFD markets.

An order to automatically close a position at a specified price to limit potential losses.

A price level where buying pressure tends to overcome selling pressure, preventing further price declines.

St. Vincent and the Grenadines Financial Services Authority - Minimal offshore regulation.

Forex slang for the Swiss Franc (CHF) or USD/CHF currency pair.

An order to automatically close a position at a specified price to lock in profits.

Analyzing price charts and indicators to forecast future price movements based on historical patterns.

A market condition characterized by rising prices, with higher highs and higher lows over time.

Vanuatu Financial Services Commission - Offshore regulator with minimal oversight.

A measure of how much and how quickly prices change, indicating market uncertainty and risk.

A rapid price movement in one direction followed by a sharp reversal, often triggering stop losses on both sides.

A currency pair that doesn't include the US dollar, calculated from two USD pairs.

The income return on an investment, typically expressed as an annual percentage based on cost or current value.

A market situation where one participant's gain equals another's loss, with total gains minus losses equaling zero.