Terminology Terms

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A

# Accumulation/Distribution Indicator

A volume-based indicator, that gauges the cumulative flow of money into and out of a security. It measures the strength of a trend by analysing whether more money is flowing into or out of the asset.
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A trade association for the oil and natural gas industry in the US.......

A variation of the Volume Weighted Average Price (VWAP), this indicator calculates the average price of an asset starting from a specific point in time, helping traders identify important price levels.......

After-hours trading takes place outside of regular trading hours. In the US, typically after-hours trading happens between 16:00 and 20:00 ET - and provides investors with an opportunity to react to news and events that occur after the market closes.

B

The base currency is the first currency in a currency pair and indicates the value of one unit of that currency relative to the second currency, called the quote currency.

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A bearish market sentiment indicating a decline in asset prices.

The highest price a buyer is willing to pay for an asset.

A bond is a fixed-income investment in which an investor lends money to an entity (corporate or governmental) that borrows the funds for a defined period, earning either a fixed or variable interest rate.

Buy-and-Hold is a passive investment strategy in which an investor buys a security and holds it for an extended period of time, often several years or more.

C

Candlesticks are a visual representation of the size of price fluctuations.

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A carry trade is a strategy in which a trader borrows funds in a currency with a low-interest rate and invests in a currency with a higher interest rate to profit from the interest rate differential.

The cash conversion cycle (CCC) is a financial measurement that calculates how long, in days, it takes for a company to turn their investments and resources into revenue.

A central bank is a financial institution responsible for managing a country's monetary policy and issuing its currency.

Commodities are raw materials turned into finished goods which are sold to consumers. There are two main types of commodities, hard commodities and soft commodities. Hard commodities are commodities which are mined, such as gold or oil, while soft commodities are agricultural products, such as coffee or wheat.

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