Finance Illustrated

Trading glossary for beginners

316 terms in plain English, with links to examples.

#

2FA
Two-factor authentication: a one-time code, often sent to your phone, needed to log in.Used in: Crypto Wallets and Custody: Who Controls the Keys?

A

Account manager
Someone who says they will trade for you. Check who holds your money and who can move it.Used in: 6 Dangerous Forex Scams and How to Spot Them Before You Pay
Account transfer
Moving your investments from one broker to another. Fractions often cannot be moved and may be sold.Used in: Fractional Shares: How They Work and What to Ask First
Annual report
A company's yearly report on its business, results and risks. In the US, the filed version is called a 10-K.Used in: The Stocks Growth List: Free Stock Market Resources for Beginners
Article 50
The part of the EU treaty that sets out how a country leaves the EU, with two years to agree terms unless extended.Used in: The Events That Shook Financial Markets in 2017
Artificial intelligence
Computer systems that learn patterns from data to do tasks such as recognising images or writing text.Used in: AI and Robot Stocks: A Watchlist of 18 Companies to Research
Ask
The lowest price a seller will accept right now. If you buy straight away, you usually pay about this price.Used in: What Is the Spread in Forex? How to Work Out the Real Cost, Market, Limit and Stop Orders: Which Should You Use?, Crypto Trading Costs: Spreads, Fees and Order Types
Asset allocation
How you split your money between types of investment, such as shares, bonds and cash.Used in: How to Diversify Your Investment Portfolio: A Beginner's Guide, Buy and Hold Investing: How It Works and How to Stick With It, Free Online Stock Trading Course: A 6-Module Plan for Beginners
Assignment
The process requiring an option writer to meet the contract’s obligation.Used in: Calls and puts: what are you actually buying?
Auction
A short phase where an exchange collects orders and matches them at one price, often at the open and close.Used in: Stock Market Opening Hours: US, Canada, UK and Australia

B

Backtest
A test of fixed trading rules on past prices. It shows what might have happened, not what will happen.Used in: Forex Signals: How to Check a Signal Service Before You Trust It, Forex Trading Course for Beginners: 7 Steps in the Right Order, Forex Trading Strategies for Beginners: 8 Ideas and How to Test Them
Backtesting
Testing fixed trading rules on past prices to see what they would have done. It cannot show what will happen.Used in: What Is Paper Trading?, How to Backtest a Trading Strategy Without Fooling Yourself
Balance
The money in a trading account counting only closed trades.Used in: Social Trading Guide: How to Check a Trader Before You Copy
Base currency
The first currency in a pair. The price shows what one unit of it costs.Used in: How to Read Currency Pairs: EUR/USD Explained Simply, The ABC of Forex Trading: Pairs, Pips, Lots and Leverage, Forex Currency Nicknames: Cable, Loonie, Kiwi and More
Base salary
Fixed pay for a year of work, before any bonus.Used in: Highest-Paid Forex Broker CEOs: How to Read the Pay Numbers
Benchmark
The index or group of stocks that a stock or fund is compared with.Used in: What Does an Overweight Rating Mean?
Bid
The highest price a buyer will pay right now. If you sell straight away, you usually get about this price.Used in: How to Read Forex Charts: Candles, Timeframes and What Charts Hide, What Is the Spread in Forex? How to Work Out the Real Cost, Market, Limit and Stop Orders: Which Should You Use?
Block
A bundle of checked payments added to the blockchain. Each block points back to the one before it.Used in: Bitcoin Basics: How It Works and What You Own
Blockchain
A shared public record of payments, kept by many computers, where each block of records links to the one before.Used in: Bitcoin Basics: How It Works and What You Own, Crypto Trading for Beginners PDF: Free Download and Study Guide
Body
The thick part of a candle. It runs from the opening price to the closing price.Used in: How to Read Candlesticks: Open, High, Low and Close
Bollinger Bands
Two lines around a moving average. They move apart when prices swing more and closer when they calm down.Used in: Forex Trading Strategies for Beginners: 8 Ideas and How to Test Them, Basics of Technical Analysis: Trends, Support and Indicators
Bond
A loan to a government or company that pays interest. Its price can still rise and fall.Used in: How to Diversify Your Investment Portfolio: A Beginner's Guide
Bonds
Loans to a government or company that pay interest. Central banks sometimes buy them to keep rates low.Used in: The Events That Shook Financial Markets in 2017
Brand deal
When a company pays a creator to mention its product. It should be clearly labelled.Used in: Top 10 Finance TikTokers to Follow in 2026 (and How to Check Them)
Break-even win rate
The share of trades you must win so that wins and losses cancel out, before costs. Risk divided by (risk + reward).Used in: How to Calculate the Risk-Reward Ratio (With a Simple Forex Example), How to Improve Your Trading Skills With a Simulator: A 4-Stage Plan
Breakout
A move past a price level the market has struggled to cross before. Breakout trading bets the move will continue.Used in: Forex Market Analysis: Fundamental vs Technical, Forex Trading Strategies for Beginners: 8 Ideas and How to Test Them
Broker
The licensed company that holds your money, sets your trading costs and carries out your orders.Used in: How to Start Investing in Stocks: A Simple First Plan, Best Forex Brokers for Beginners: Compare by Country, Best Forex Trading Platforms for Beginners: 10 Choices
Broker app
An app from a licensed company that holds your money and places real trades for you.Used in: Best Forex Trading Apps: Trading, Lessons and Practice
BrokerCheck
A free FINRA search that shows whether a US broker or adviser is registered.Used in: 10 Best Free Investing Tools for Beginners (2026)
Business day
A weekday when the market and its settlement system are open. Weekends and holidays don't count.Used in: Stock Settlement in the US and Canada: What T+1 Means
Buy and hold
Keeping investments for many years instead of trading short-term price moves.Used in: Buy and Hold Investing: How It Works and How to Stick With It

C

Candle
A chart shape that shows the open, high, low and close price for one time period.Used in: Beginner Forex Trading Course: 6 Practice Tasks With Answers
Candlestick
A chart shape that shows the open, high, low and close price for one period.Used in: How to Read Forex Charts: Candles, Timeframes and What Charts Hide, How to Read Stock Charts for Beginners: Candles, Volume, Trends, How to Read Candlesticks: Open, High, Low and Close
Capital gains
Profits from selling an investment for more than it cost. Funds can pay these out to you, and they may be taxed.Used in: ETF vs Mutual Fund: Which Costs Less and How to Compare
Capital spending
Money a company spends on long-lasting things such as buildings, machines and equipment.Used in: How to Choose Dividend Stocks: A 6-Step Health Check for Beginners
Carry trade
Holding a higher-interest currency against a lower-interest one to earn the difference. Exchange-rate moves can wipe that out.Used in: 15 Forex Strategies and Patterns for Beginners (and How They Fail)
Cash account
A brokerage account where you pay for investments in full with your own money.Used in: How to Start Investing in Stocks: A Simple First Plan, Stock Settlement in the US and Canada: What T+1 Means
Cash-secured put
A written put backed by cash for the potential purchase at the strike.Used in: How much can an option position lose?
Central bank
A country's or region's main bank, such as the US Federal Reserve or the Bank of England. It sets the key interest rate.Used in: What Influences Exchange Rates? 6 Main Drivers, The Forex Growth List: Free Resources and a Study Plan for Beginners, Top 10 Forex Twitter (X) Accounts to Follow in 2026
CFD
Contract for difference: a contract that pays the change in a price without you owning the asset. Usually traded with leverage.Used in: The ABC of Forex Trading: Pairs, Pips, Lots and Leverage, Forex Margin vs Leverage: Why Your Deposit Is Not Your Loss Limit, Why Trade Forex? 5 Reasons People Give, and the Catch in Each
CFDs
Contracts for difference: contracts that pay the change in a price without you owning the asset. Usually traded with leverage.Used in: How to Start Forex Trading: Check the Broker First, Forex Trading for Beginners PDF: Free Book and What's Inside, Best Traders to Copy on eToro
Client agreement
The contract between you and the trading firm. It names the exact company you deal with.Used in: How to Start Forex Trading: Check the Broker First
Clone firm
A scam that copies the name and licence number of a real, regulated firm, but uses different contact details.Used in: 6 Dangerous Forex Scams and How to Spot Them Before You Pay
Clone firms
Fake firms that copy the name and details of real, authorised firms to trick customers.Used in: How to Start Forex Trading: Check the Broker First
Cold wallet
A wallet kept offline, usually on a small device. Safer from hackers, but it can be lost or broken.Used in: Crypto Wallets and Custody: Who Controls the Keys?
Commission
A fee a broker charges for each trade, on top of or instead of a wider spread.Used in: What Is the Spread in Forex? How to Work Out the Real Cost, Comparing Brokerage Fees: How to Find Your Real Cost, How to Start Investing in Stocks: A Simple First Plan
Compound interest
Growth on your growth: returns are added to your money and then earn returns themselves.Used in: 10 Best Free Investing Tools for Beginners (2026)
Compounding
Earning returns on earlier returns, not only on the money you put in.Used in: Buy and Hold Investing: How It Works and How to Stick With It
Conversion fee
A charge for changing money from one currency to another. It may be separate or built into the rate.Used in: Currency Risk for Canadian Investors: When a US Gain Shrinks in CAD
Copy trading
A service that automatically repeats another trader's trades in your account, in proportion to the money you set aside.Used in: Best Traders to Copy on eToro, 5 Steps to Check an eToro Trader Before You Copy, Best Stock Market Simulators (2026): 10 Ways to Practise
Corporate action
A company event that affects its shares, such as a split, a merger or a special payment.Used in: Fractional Shares: How They Work and What to Ask First
Counterparty
The other side of your trade. With many retail forex accounts, the dealer itself takes the other side.Used in: Who Trades Forex?, Why Trade Forex? 5 Reasons People Give, and the Catch in Each
Covered call
A written call backed by the underlying shares required for delivery.Used in: How much can an option position lose?
Cross
A currency pair that does not include the US dollar, such as EUR/GBP.Used in: How to Read Currency Pairs: EUR/USD Explained Simply, Top 3 Currency Pairs to Watch and Trade in 2026
Currency code
The three-letter name for a currency, such as USD, EUR or CAD. It is clearer than any nickname.Used in: Forex Currency Nicknames: Cable, Loonie, Kiwi and More
Currency pair
A price that compares two currencies, such as EUR/USD.Used in: How to Read Currency Pairs: EUR/USD Explained Simply
Currency risk
The chance that a change in exchange rates lowers the value of a foreign investment in your own currency.Used in: Currency Risk for Canadian Investors: When a US Gain Shrinks in CAD
Custody
Who holds the keys and can approve moving the coins: you, or a company acting for you.Used in: Crypto Wallets and Custody: Who Controls the Keys?
Cut-off time
The latest time an order can reach a mutual fund and still get that day's price.Used in: ETF vs Mutual Fund: How Each One Trades During the Day

D

Day trading
Buying and selling within the same day to profit from small price moves. It is very risky for beginners.Used in: Top 10 Finance TikTokers to Follow in 2026 (and How to Check Them)
Daylight saving time
Moving clocks forward one hour in summer. Countries change on different dates, and some never change.Used in: Stock Market Opening Hours: US, Canada, UK and Australia
Dealers
Banks and firms that quote buy and sell prices to customers and take the other side of their trades.Used in: Who Trades Forex?
Demo account
A broker's free practice account with pretend money, so you can learn its platform before you trade.Used in: How to Start Forex Trading: Check the Broker First, Best Forex Trading Apps: Trading, Lessons and Practice
Diversification
Spreading your money across different investments, so one bad event cannot hit everything at once.Used in: Stock Trading for Beginners PDF: Free Book and Study Guide, Social Trading Guide: How to Check a Trader Before You Copy
Diversify
To spread your money across different investments so one bad result does not decide the whole.Used in: How to Diversify Your Investment Portfolio: A Beginner's Guide
Dividend
Cash a company may pay to its shareholders, usually from profits. It can be raised, cut or stopped.Used in: Fractional Shares: How They Work and What to Ask First, 10 Well-Known Dividend Stocks to Research in 2026, Dividend Investing Strategy for Beginners: Plan Income, Not Just Yield
Dividend ETF
An exchange-traded fund that holds many dividend-paying companies, bought and sold like a single share.Used in: Dividend Investing Strategy for Beginners: Plan Income, Not Just Yield
Dividend King
A nickname for a company that has raised its dividend every year for 50 years or more.Used in: 10 Well-Known Dividend Stocks to Research in 2026
Dividend reinvestment plan
A service, often called a DRIP, that uses your dividends to buy more shares of the same stock or fund.Used in: Dividend Investing Strategy for Beginners: Plan Income, Not Just Yield
Dividend yield
One year of dividends per share divided by the share price, shown as a percentage.Used in: 10 Well-Known Dividend Stocks to Research in 2026, Dividend Investing Strategy for Beginners: Plan Income, Not Just Yield
Dividends
Cash a company pays to the people who own its shares.Used in: Highest-Paid Forex Broker CEOs: How to Read the Pay Numbers
Doji
A candle whose open and close are the same or almost the same, so its body is a thin line.Used in: How to Read Candlesticks: Open, High, Low and Close
Double top
2 peaks at about the same price, read as a possible turn down. A double bottom is the opposite.Used in: 15 Forex Strategies and Patterns for Beginners (and How They Fail)
Drawdown
A fall from an earlier high point to a later low point, usually shown as a percentage of that high.Used in: Crypto Practice Plan: 6 Exercises Before You Use Real Money, Crypto Volatility and Drawdowns: Why a 50% Loss Needs a 100% Gain, Best Traders to Copy on eToro
Drift
When price moves change your mix away from the one you planned.Used in: How to Diversify Your Investment Portfolio: A Beginner's Guide

E

Earnings per share
A company's profit for a period divided by its number of shares.Used in: Stock Trading for Beginners PDF: Free Book and Study Guide, How to Choose Dividend Stocks: A 6-Step Health Check for Beginners
Eastern Time
The local clock in New York and Toronto. It changes between standard time and daylight saving time.Used in: Stock Market Opening Hours: US, Canada, UK and Australia
Economic calendars
Lists of upcoming economic reports and decisions, with dates, times and forecasts.Used in: The Forex Growth List: Free Resources and a Study Plan for Beginners
Edge
A real advantage that still makes money after costs, over many trades. Most ideas need testing to find out.Used in: 7 Habits of Successful Forex Traders, and What Habits Can't Do
Enterprise value
A wider measure of a company's value: market cap plus debt, minus cash, in its simplest form.Used in: What Is Market Capitalization?
Equity
An account's value including trades that are still open, with their current gains or losses.Used in: Social Trading Guide: How to Check a Trader Before You Copy
ERM
The European Exchange Rate Mechanism: a system that kept European currencies within set limits against each other.Used in: 5 Famous Forex Traders: Their Stories and What They Can Teach You
ETF
Exchange-traded fund: a fund that holds many investments and trades on a stock exchange at a price that changes during the day.Used in: ETF vs Mutual Fund: Which Costs Less and How to Compare, How to Start Investing in Stocks: A Simple First Plan, 14 Stock Trading Apps for Beginners: Brokers and Practice
Ether
The coin of the Ethereum network, with the short code ETH.Used in: 5 Ethereum Crashes and Shocks: What Happened and What They Teach
European-style
An exercise style allowing exercise only at expiration.Used in: What happens when an option expires?
Ex-dividend date
In the US, buy before this date to get the next dividend. Buy on or after it and the seller gets it.Used in: 10 Well-Known Dividend Stocks to Research in 2026
Exchange
A business where people buy and sell crypto. If you leave coins there, it usually holds the keys.Used in: Crypto Wallets and Custody: Who Controls the Keys?, 5 Big Bitcoin Crashes: What Happened and What They Really Teach
Exchange rate
The price of one currency in another, such as 1.10 US dollars for one euro.Used in: What Influences Exchange Rates? 6 Main Drivers, Currency Risk for Canadian Investors: When a US Gain Shrinks in CAD, Stock Market Investing for Beginners: How Shares Work
Execution price
The price at which your order is actually filled.Used in: Fractional Shares: How They Work and What to Ask First
Exercise
Using the option’s contractual right to buy or sell its underlying.Used in: What happens when an option expires?
Expense ratio
The yearly fee a fund takes from its assets, shown as a percentage of your money in the fund.Used in: ETF vs Mutual Fund: Which Costs Less and How to Compare, 10 Best Free Investing Tools for Beginners (2026)
Exposure
How much of your money depends on one thing, such as one company, industry, country or currency.Used in: How to Diversify Your Investment Portfolio: A Beginner's Guide
Extended hours
Trading sessions before the main open or after the main close. Fewer people trade then, so prices can jump more.Used in: Stock Market Opening Hours: US, Canada, UK and Australia

F

Fee schedule
A broker's published list of all its charges.Used in: Comparing Brokerage Fees: How to Find Your Real Cost
Filing
An official report a public company sends to its regulator, such as a yearly 10-K in the US.Used in: 10 Best Free Investing Tools for Beginners (2026)
Fill
The moment an order actually happens, at a set price.Used in: Best Stock Market Simulators (2026): 10 Ways to Practise
Fill price
The price at which your order actually traded.Used in: Paper Trading Journal: A Free Template to Review Practice Trades
Finfluencer
A social media creator who talks about money and investing. Most are not licensed advisers.Used in: Top 10 Finance TikTokers to Follow in 2026 (and How to Check Them)
FINRA BrokerCheck
A free US tool that shows whether a broker or adviser is registered, and their record.Used in: Free Stock Trading Courses: Where to Find Them and How to Choose
Fiscal 2025
A company's 2025 reporting year. It can end in a month other than December.Used in: AI and Robot Stocks: A Watchlist of 18 Companies to Research
Float
The shares available for the public to trade. Data providers define it in slightly different ways.Used in: What Is Market Capitalization?
FOMO
Fear of missing out: the urge to buy because everyone else seems to be making money.Used in: Crypto Trading for Beginners PDF: Free Download and Study Guide, Bitcoin Memes: 13 Funny Favorites and the Truth Behind the Jokes
Forecast
A prediction about the future, such as a price target. You can only check it later.Used in: 13 Best Investing Podcasts to Listen to in 2026
Forex
Short for foreign exchange: the market where one currency is swapped for another. Also called FX.Used in: The ABC of Forex Trading: Pairs, Pips, Lots and Leverage, Forex Trading for Beginners: How It Works, What It Costs, the Risks
Forex signal
A buy or sell idea for a currency pair, often sold by a paid group. Its record needs checking.Used in: Top 10 Forex Twitter (X) Accounts to Follow in 2026
Forward
A contract to swap currencies on a future date at a rate fixed today.Used in: Who Trades Forex?
Forward pricing
Pricing a fund order at the next price worked out after the order arrives, not at the last price.Used in: ETF vs Mutual Fund: How Each One Trades During the Day
Fractional share
Less than one whole share, bought with an amount of money instead of a number of shares.Used in: Fractional Shares: How They Work and What to Ask First
Fractional shares
Part of one share. You buy a dollar amount, such as $10, instead of a whole share.Used in: 14 Stock Trading Apps for Beginners: Brokers and Practice, Best Mobile Trading Platforms: 12 Apps Compared
Free cash flow
Cash from day-to-day business minus capital spending. Companies define it in slightly different ways.Used in: How to Choose Dividend Stocks: A 6-Step Health Check for Beginners
FUD
Fear, uncertainty and doubt. Sometimes used to dismiss warnings that deserve a proper check.Used in: Bitcoin Memes: 13 Funny Favorites and the Truth Behind the Jokes
Fund
A pot of money from many investors that is used to buy many investments.Used in: ETF vs Mutual Fund: Which Costs Less and How to Compare
Fundamental analysis
Studying what is behind a price, such as a company's profits or a country's interest rates and inflation.Used in: Forex Market Analysis: Fundamental vs Technical, Basics of Technical Analysis: Trends, Support and Indicators
Futures contract
An agreement to buy or sell something at a set price on a future date.Used in: The Events That Shook Financial Markets in 2017

G

Gap
A jump in price with no trades in between, often over a weekend or after news while the market is closed.Used in: Forex Market Hours: When Can You Trade?, Forex Margin vs Leverage: Why Your Deposit Is Not Your Loss Limit, Market, Limit and Stop Orders: Which Should You Use?
GDP
Gross domestic product: the value of everything an economy produces in a period.Used in: What Influences Exchange Rates? 6 Main Drivers
Going long
Buying a pair. You gain if its price rises and lose if it falls.Used in: The ABC of Forex Trading: Pairs, Pips, Lots and Leverage
Going short
Selling a pair. You gain if its price falls and lose if it rises.Used in: The ABC of Forex Trading: Pairs, Pips, Lots and Leverage

H

Hard fork
A change to a blockchain's rules that older software does not accept, so everyone must upgrade or split off.Used in: 5 Ethereum Crashes and Shocks: What Happened and What They Teach
Hash
A short code made from a block's contents, like a fingerprint. Change anything inside and the hash changes.Used in: Bitcoin Basics: How It Works and What You Own
Head and shoulders
A chart shape with 3 peaks, the middle one highest. Traders read a break below its neckline as a possible turn down.Used in: 15 Forex Strategies and Patterns for Beginners (and How They Fail)
Hedge
For a fund, using contracts to reduce the effect of exchange-rate moves. It has costs and limits.Used in: Currency Risk for Canadian Investors: When a US Gain Shrinks in CAD
Hedging
Reducing a risk you already have, such as fixing an exchange rate for money you will receive later.Used in: Who Trades Forex?
Hindsight
Knowing how things turned out. It makes past events look easier to predict than they were.Used in: The Events That Shook Financial Markets in 2017
HODL
Crypto slang for holding on to your coins instead of selling. It began as a misspelling of 'hold'.Used in: Bitcoin Memes: 13 Funny Favorites and the Truth Behind the Jokes
Home currency
The currency you measure your money in, such as Canadian dollars for a Canadian investor.Used in: Currency Risk for Canadian Investors: When a US Gain Shrinks in CAD
Hot wallet
A wallet connected to the internet, such as a phone app. Easy to use, but exposed to online attacks.Used in: Crypto Wallets and Custody: Who Controls the Keys?

I

Implied volatility
The expectations of underlying price movement reflected in option prices.Used in: When does a bought option actually make money?
In the money
A call has intrinsic value above its strike; a put has intrinsic value below it.Used in: When does a bought option actually make money?
Inactivity fee
A fee some brokers charge when you do not trade for a set time.Used in: Comparing Brokerage Fees: How to Find Your Real Cost
Index fund
A fund that holds all the shares in a market index, such as the S&P 500, instead of picking a few.Used in: 13 Best Investing Podcasts to Listen to in 2026
Inflation
A rise in prices in general across an economy, usually measured over a year.Used in: What Influences Exchange Rates? 6 Main Drivers
Initial coin offerings
ICOs: a way for a new crypto project to raise money by selling its own new tokens to the public.Used in: 5 Big Bitcoin Crashes: What Happened and What They Really Teach, 5 Ethereum Crashes and Shocks: What Happened and What They Teach
Inside bar
A candle whose high and low both sit inside the candle before it.Used in: 15 Forex Strategies and Patterns for Beginners (and How They Fail)
Interest rate
The price of borrowing money. Central bank rates affect what savers earn in each currency.Used in: Top 10 Forex Twitter (X) Accounts to Follow in 2026
Interest rate gap
The difference between the interest rates set by the two central banks behind a currency pair.Used in: Top 3 Currency Pairs to Watch and Trade in 2026
Interval
The time each candle or bar covers, such as one day or five minutes.Used in: How to Read Stock Charts for Beginners: Candles, Volume, Trends
Intervention
When a central bank buys or sells currencies to push its own currency's value up or down.Used in: Who Trades Forex?, Top 3 Currency Pairs to Watch and Trade in 2026
Intrinsic value
The amount an option is in the money, with a minimum of zero.Used in: When does a bought option actually make money?

L

Large-cap
A company with a big market cap. FINRA's example range is $10 billion to $200 billion.Used in: What Is Market Capitalization?
Last price
The price of the most recent trade. It may not be the price you can trade at now.Used in: Bid vs Ask Price: What They Mean and Why the Spread Costs You
Leverage
Controlling a trade bigger than your own money. Gains and losses are based on the full trade size, so both grow faster.Used in: The ABC of Forex Trading: Pairs, Pips, Lots and Leverage, Forex Margin vs Leverage: Why Your Deposit Is Not Your Loss Limit, Crypto Practice Plan: 6 Exercises Before You Use Real Money
Limit order
An order to buy or sell only at your chosen price or better. It may fill later, partly, or never.Used in: Market, Limit and Stop Orders: Which Should You Use?, How to Start Investing in Stocks: A Simple First Plan, What Is Paper Trading?
Line chart
A chart that joins the closing prices with one line. It hides the highs and lows inside each period.Used in: How to Read Candlesticks: Open, High, Low and Close, Basics of Technical Analysis: Trends, Support and Indicators
Liquidity
How easily you can buy or sell without moving the price much. Many buyers and sellers means high liquidity.Used in: Crypto Volatility and Drawdowns: Why a 50% Loss Needs a 100% Gain, Why Trade Forex? 5 Reasons People Give, and the Catch in Each, Bid vs Ask Price: What They Mean and Why the Spread Costs You
Live record
Results from real trades, recorded with dates as they happened.Used in: AI Trading Claims: How to Check a Bot or Signal Before You Trust It
Load
A sales charge some mutual funds take when you buy or sell.Used in: ETF vs Mutual Fund: Which Costs Less and How to Compare
Log scale
A chart scale on which equal percentage moves look the same size.Used in: How to Read Stock Charts for Beginners: Candles, Volume, Trends
Long
Going long means buying a pair. You gain if its price rises.Used in: Forex Trading Course for Beginners: 7 Steps in the Right Order
Long trade
A trade where you buy first and hope to sell higher later.Used in: How to Calculate the Risk-Reward Ratio (With a Simple Forex Example)
Look-ahead bias
A test mistake where the rule uses information that was not available at the time of the trade.Used in: How to Backtest a Trading Strategy Without Fooling Yourself
Lookalike account
A fake account that copies a real name or handle with small changes, such as one missing letter.Used in: Top 10 Forex Twitter (X) Accounts to Follow in 2026
Loss limit
The most you plan to lose on one trade or one day, decided before you trade.Used in: 7 Habits of Successful Forex Traders, and What Habits Can't Do
Lot
A set trade size. A standard lot is 100,000 units of the first currency. Mini lot: 10,000. Micro lot: 1,000.Used in: The ABC of Forex Trading: Pairs, Pips, Lots and Leverage, Forex Trading for Beginners: How It Works, What It Costs, the Risks
Lots
Set trade sizes. Standard lot: 100,000 units. Mini lot: 10,000. Micro lot: 1,000.Used in: How Much Is a Forex Pip Worth?
Lump sum
A large amount of money invested all at once, rather than bit by bit.Used in: Buy and Hold Investing: How It Works and How to Stick With It

M

Macro traders
Traders who bet on big economic forces, such as interest rates, inflation and politics, often through currencies and bonds.Used in: 5 Famous Forex Traders: Their Stories and What They Can Teach You
Major
A heavily traded currency pair that includes the US dollar, such as EUR/USD.Used in: How to Read Currency Pairs: EUR/USD Explained Simply
Major pairs
The most traded currency pairs that include the US dollar, such as EUR/USD, USD/JPY and GBP/USD.Used in: Top 3 Currency Pairs to Watch and Trade in 2026
Maker
An order that waits on the exchange until someone trades with it. Often charged a lower fee.Used in: Crypto Trading Costs: Spreads, Fees and Order Types
Margin
Money a broker holds from your account to keep a leveraged trade open. In stock accounts it also means money borrowed from the broker. It is not a loss limit.Used in: How to Start Forex Trading: Check the Broker First, The ABC of Forex Trading: Pairs, Pips, Lots and Leverage, Forex Margin vs Leverage: Why Your Deposit Is Not Your Loss Limit
Margin account
A brokerage account that lets you borrow from the broker to invest. Losses can grow beyond your own money.Used in: How to Start Investing in Stocks: A Simple First Plan
Margin call
A broker's demand for more money when losses use up too much of your account. The broker may also close your trades.Used in: Forex Margin vs Leverage: Why Your Deposit Is Not Your Loss Limit
Margin interest
Interest you pay on money borrowed from your broker to invest.Used in: Comparing Brokerage Fees: How to Find Your Real Cost
Market capitalization
The stock market value of all of a company's shares: share price × number of shares. Often called market cap.Used in: What Is Market Capitalization?, Free Online Stock Trading Course: A 6-Module Plan for Beginners
Market maker
A firm that quotes buy and sell prices and trades against its customers' orders.Used in: Highest-Paid Forex Broker CEOs: How to Read the Pay Numbers
Market order
An order to buy or sell now at the best price available. It fills fast, but the price is not fixed.Used in: Market, Limit and Stop Orders: Which Should You Use?, How to Start Investing in Stocks: A Simple First Plan, What Is Paper Trading?
Market value
Share price times the number of shares. It shows how much the whole company is worth on the market.Used in: Highest-Paid Forex Broker CEOs: How to Read the Pay Numbers
Markup
An extra amount added to an exchange rate, so you get a worse rate than the market rate.Used in: Currency Risk for Canadian Investors: When a US Gain Shrinks in CAD
Maximum drawdown
The biggest fall from a high point to a later low point in a whole record, shown as a percentage.Used in: Best Traders to Copy on eToro, 5 Steps to Check an eToro Trader Before You Copy, How to Backtest a Trading Strategy Without Fooling Yourself
Mean reversion
The idea that a price that moved far from its average will move back toward it.Used in: 15 Forex Strategies and Patterns for Beginners (and How They Fail)
Micro lot
A trade of 1,000 units of the first currency in a pair. On EUR/USD, one pip is worth about 10 cents.Used in: Top Forex Apps of 2026: Trade Smarter, Not Harder
Mid price
The price halfway between the bid and the ask. Charts often show it, but you usually can't trade at it.Used in: What Is the Spread in Forex? How to Work Out the Real Cost
Midpoint
The price exactly halfway between the bid and the ask.Used in: Bid vs Ask Price: What They Mean and Why the Spread Costs You
Miner
A computer that checks new payments and adds them to a block, following the network's rules.Used in: Bitcoin Basics: How It Works and What You Own
Moving average
The average of the last few closing prices, worked out again each period and drawn as one line. It reacts late.Used in: Forex Market Analysis: Fundamental vs Technical, How to Read Stock Charts for Beginners: Candles, Volume, Trends, Forex Trading Strategies for Beginners: 8 Ideas and How to Test Them
MSCI index
One of a family of stock market indexes run by the company MSCI, often used as benchmarks.Used in: What Does an Overweight Rating Mean?
Mutual fund
A fund that sells and buys back its own shares at one price each day, its NAV.Used in: ETF vs Mutual Fund: Which Costs Less and How to Compare, ETF vs Mutual Fund: How Each One Trades During the Day

N

Net asset value: the value of everything a fund owns, minus what it owes, per fund share.Used in: ETF vs Mutual Fund: Which Costs Less and How to Compare, ETF vs Mutual Fund: How Each One Trades During the Day
Negative balance protection
A rule for retail CFD accounts in the UK, EU and Australia: you cannot lose more than the money in that account.Used in: Forex Margin vs Leverage: Why Your Deposit Is Not Your Loss Limit
Net result
The profit or loss after all costs are taken off.Used in: Paper Trading Journal: A Free Template to Review Practice Trades
Network fee
A fee paid to the crypto network to move coins from one address to another.Used in: Crypto Trading Costs: Spreads, Fees and Order Types
Norges Bank
Norway's central bank. It sets interest rates for the Norwegian krone.Used in: Top 3 Currency Pairs to Watch and Trade in 2026

O

OHLC
Open, high, low, close: the four prices a candle or bar shows for one period.Used in: How to Read Forex Charts: Candles, Timeframes and What Charts Hide, How to Read Candlesticks: Open, High, Low and Close
Option
A contract that gives the right, but not the duty, to buy or sell at a set price before a set date.Used in: 5 Famous Forex Traders: Their Stories and What They Can Teach You
Options contract
A contract that gives the right to buy or sell 100 shares at a set price before a set date. Riskier than shares.Used in: Best Mobile Trading Platforms: 12 Apps Compared
Order book
The live list of prices and amounts that buyers and sellers are offering.Used in: Bid vs Ask Price: What They Mean and Why the Spread Costs You
Original sources
Places that publish facts themselves, such as a central bank's decision or a regulator's register.Used in: The Forex Growth List: Free Resources and a Study Plan for Beginners
Out-of-sample data
Prices kept aside and not used while building a rule, so they can give it a fair test.Used in: How to Backtest a Trading Strategy Without Fooling Yourself
Overfitting
Tuning a rule so closely to past prices that it fits old noise and fails on new data.Used in: How to Backtest a Trading Strategy Without Fooling Yourself
Overnight fee
A charge for keeping a leveraged trade open past the daily cut-off time. It adds up over days and weeks.Used in: Top Forex Apps of 2026: Trade Smarter, Not Harder
Overweight
An analyst rating that usually means a stock should beat a stated benchmark over a set period.Used in: What Does an Overweight Rating Mean?

P

Paper trade
To follow a strategy on live prices with virtual money, without risking real money.Used in: How to Backtest a Trading Strategy Without Fooling Yourself
Paper trading
Practice trading with pretend money on real prices. The name comes from writing practice trades on paper.Used in: What Is Paper Trading?, Best Forex Trading Apps: Trading, Lessons and Practice, Top Forex Apps of 2026: Trade Smarter, Not Harder
Paper wealth
What your coins would be worth if you sold them right now. It is not money until you sell.Used in: Bitcoin Millionaires: Real Stories and What the Headlines Leave Out
Partial fill
When only part of your order is completed, and the rest is still open or cancelled.Used in: Market, Limit and Stop Orders: Which Should You Use?
Pattern day trader
A US label for someone who often buys and sells the same shares within one day, under old FINRA rules.Used in: 7 Daily Trading Tips for Beginners: Simple Habits to Manage Risk
Payment for order flow
Money a trading firm pays a broker for sending it customers' orders. Allowed in the US; rules differ elsewhere.Used in: Comparing Brokerage Fees: How to Find Your Real Cost
Payout ratio
The share of a company's profit paid out as dividends. Paying $1.60 from $4 of profit is a 40% payout ratio.Used in: 10 Well-Known Dividend Stocks to Research in 2026, How to Choose Dividend Stocks: A 6-Step Health Check for Beginners
Peak
The highest value before a fall. Drawdowns are measured from it.Used in: Crypto Volatility and Drawdowns: Why a 50% Loss Needs a 100% Gain
Percentage points
The plain difference between two percentages. Going from 3% to 5% is a rise of 2 percentage points.Used in: What Does an Overweight Rating Mean?
Physical settlement
Settlement that delivers the underlying asset rather than only a cash difference.Used in: What happens when an option expires?
Pin bar
A candle with a small body and one long wick, read as price being pushed back.Used in: 15 Forex Strategies and Patterns for Beginners (and How They Fail)
Pip
The usual small step in a currency price: 0.0001 for most pairs, 0.01 for yen pairs.Used in: How to Read Currency Pairs: EUR/USD Explained Simply, The ABC of Forex Trading: Pairs, Pips, Lots and Leverage, How Much Is a Forex Pip Worth?
Pipette
A tenth of a pip, shown as the extra last digit on many platforms.Used in: How Much Is a Forex Pip Worth?
eToro's label for investors it promotes for copying. eToro pays them based on the money copying them.Used in: Best Traders to Copy on eToro
Position
Your open trade or holding: how much of one asset you hold, in units, shares or money.Used in: Forex Margin vs Leverage: Why Your Deposit Is Not Your Loss Limit, Crypto Volatility and Drawdowns: Why a 50% Loss Needs a 100% Gain, 7 Daily Trading Tips for Beginners: Simple Habits to Manage Risk
Position size
How much you buy in one trade, for example 10,000 euros or 25 shares.Used in: How to Calculate the Risk-Reward Ratio (With a Simple Forex Example)
Premium
The price paid to buy an option, separately from the exercise price.Used in: Calls and puts: what are you actually buying?
Price target
An analyst's estimate of where a share price could be by a stated date, based on a model.Used in: What Does an Overweight Rating Mean?
Price-to-earnings ratio
The share price divided by yearly profit per share: how many dollars investors pay for $1 of profit.Used in: The Stocks Growth List: Free Stock Market Resources for Beginners, AI and Robot Stocks: A Watchlist of 18 Companies to Research
Priced in
When news is already expected and reflected in today's price, so it moves the price less, or not at all, when it happens.Used in: The Events That Shook Financial Markets in 2017
Primary source
The original document or data, such as a central bank statement, not someone's summary of it.Used in: Top 10 Forex Twitter (X) Accounts to Follow in 2026
Private key
A long secret number that signs payments. Whoever has it can spend the coins.Used in: Bitcoin Basics: How It Works and What You Own
Proof of stake
A way to run a blockchain where people lock up coins to earn the right to check and add new blocks.Used in: 5 Ethereum Crashes and Shocks: What Happened and What They Teach
Proof of work
A way to run a blockchain where computers compete to solve puzzles to add new blocks.Used in: 5 Ethereum Crashes and Shocks: What Happened and What They Teach
Public address
A string of letters and numbers that others use to send you crypto. It is safe to share.Used in: Crypto Wallets and Custody: Who Controls the Keys?
Pump and dump
A scam where people hype a cheap coin or stock to push its price up, then sell to the late buyers.Used in: Bitcoin Memes: 13 Funny Favorites and the Truth Behind the Jokes, Top 10 Finance TikTokers to Follow in 2026 (and How to Check Them)

Q

Qualified dividends
A US tax category of dividends that can be taxed at a lower rate than ordinary dividends if IRS rules are met.Used in: Dividend Investing Strategy for Beginners: Plan Income, Not Just Yield
Quantitative easing
QE: a central bank creates new money to buy bonds, aiming to push longer-term interest rates down.Used in: What Influences Exchange Rates? 6 Main Drivers
Quote currency
The second currency in a pair. The price is written in this currency, and profit or loss comes out in it first.Used in: How to Read Currency Pairs: EUR/USD Explained Simply, The ABC of Forex Trading: Pairs, Pips, Lots and Leverage, How Much Is a Forex Pip Worth?

R

Range trading
Buying near a price floor and selling near a ceiling, betting that price stays between them.Used in: Forex Trading Strategies for Beginners: 8 Ideas and How to Test Them
Realized
A gain or loss becomes realized when you sell, and the money is actually yours or gone.Used in: Bitcoin Millionaires: Real Stories and What the Headlines Leave Out
Rebalancing
Moving money between investments to get back to your planned mix.Used in: How to Diversify Your Investment Portfolio: A Beginner's Guide, Buy and Hold Investing: How It Works and How to Stick With It
Recovery phrase
Also called a seed phrase: a list of words that can rebuild a wallet's keys. Anyone who has it can take the coins.Used in: 6 Dangerous Forex Scams and How to Spot Them Before You Pay, Crypto Scams: How to Spot the Warning Signs Before You Send Money
Regulator
A government body that licenses and watches financial firms, such as the CFTC in the US, the FCA in the UK or ASIC in Australia.Used in: 6 Dangerous Forex Scams and How to Spot Them Before You Pay, Crypto Scams: How to Spot the Warning Signs Before You Send Money, The Forex Growth List: Free Resources and a Study Plan for Beginners
REIT
Real estate investment trust: a company that owns property, such as warehouses, and pays out most of its rental income.Used in: 10 Well-Known Dividend Stocks to Research in 2026
Release fee
A made-up charge you are told to pay before you can withdraw your money. A serious scam warning.Used in: 6 Dangerous Forex Scams and How to Spot Them Before You Pay
Replay
An older episode published again. Check its original date before using its facts.Used in: 13 Best Investing Podcasts to Listen to in 2026
Resistance
A price area where rises have stopped before. It may stop the next rise, or it may break.Used in: Forex Market Analysis: Fundamental vs Technical, How to Read Forex Charts: Candles, Timeframes and What Charts Hide, How to Read Stock Charts for Beginners: Candles, Volume, Trends
Retail clients
Ordinary people who trade their own money, not professionals or companies. They get the strongest protections.Used in: Best Forex Brokers for Beginners: Compare by Country
Return of capital
A payment that hands back part of the money investors put in, rather than paying out profit.Used in: How to Choose Dividend Stocks: A 6-Step Health Check for Beginners
Revenge trading
Jumping back into the market straight after a loss to try to win the money back.Used in: 7 Habits of Successful Forex Traders, and What Habits Can't Do
Reward-to-risk ratio
What a trade aims to win compared with what it could lose. 50 pips of target for 25 pips of risk is 2:1.Used in: Forex Trading Strategies for Beginners: 8 Ideas and How to Test Them
Risk-reward ratio
Your planned loss compared with your planned gain. 1:2 means risking 1 to try to make 2.Used in: How to Calculate the Risk-Reward Ratio (With a Simple Forex Example)
Risk score
A platform's 1 to 10 rating of how much a trader's portfolio value has been moving. It is a model, not a promise.Used in: Best Traders to Copy on eToro, 5 Steps to Check an eToro Trader Before You Copy, Copy Trading or a Trading Course? What You Really Pay For
Round trip
Buying something and then selling it again. Its cost includes the spread and any fees on both trades.Used in: What Is the Spread in Forex? How to Work Out the Real Cost, Crypto Trading Costs: Spreads, Fees and Order Types, Bid vs Ask Price: What They Mean and Why the Spread Costs You
RSI
Relative Strength Index: an indicator from 0 to 100 that compares recent rises with recent falls.Used in: How to Read Forex Charts: Candles, Timeframes and What Charts Hide, Basics of Technical Analysis: Trends, Support and Indicators
Rule of thumb
A simple guide that is often roughly right, but not always, such as the 4% rule for retirement.Used in: Top 10 Finance TikTokers to Follow in 2026 (and How to Check Them)

S

Safe havens
Currencies or assets that many investors buy when they are scared. None is sure to rise in every crisis.Used in: What Influences Exchange Rates? 6 Main Drivers
Sales funnel
A chain of free offers designed to lead you, step by step, to a paid product.Used in: Free Stock Trading Courses: Where to Find Them and How to Choose
Scalping
Very short trades, held for seconds to minutes, aiming for tiny moves.Used in: 15 Forex Strategies and Patterns for Beginners (and How They Fail)
Sector
A group of companies in the same kind of business, such as technology or banking.Used in: Social Trading for Beginners: Real Benefits and Hidden Risks
Sectors
Groups of companies in the same kind of business, such as energy, travel or health.Used in: Stock Trading for Beginners PDF: Free Book and Study Guide
Seed phrase
A list of words, often 12 or 24, that can rebuild a wallet's keys. Anyone who has it can take the coins.Used in: Bitcoin Basics: How It Works and What You Own, Crypto Wallets and Custody: Who Controls the Keys?
Sell to close
Selling an option you already own to exit that long position.Used in: What happens when an option expires?
Sessions
The main trading periods of the currency market, named after big centres: Sydney, Tokyo, London and New York.Used in: Forex Market Hours: When Can You Trade?
Settlement
The official swap of shares and cash after a trade, done by the market's settlement system.Used in: Stock Settlement in the US and Canada: What T+1 Means
Share
A small piece of ownership in a company. Also called a stock.Used in: Stock Trading for Beginners PDF: Free Book and Study Guide, Free Online Stock Trading Course: A 6-Module Plan for Beginners, Stock Market Investing for Beginners: How Shares Work
Share award
Shares or options a company promises to a boss, usually received later and only if conditions are met.Used in: Highest-Paid Forex Broker CEOs: How to Read the Pay Numbers
Shareholder
A person or fund that owns shares in a company.Used in: Stock Market Investing for Beginners: How Shares Work
Shares outstanding
All the shares of a company that investors currently own.Used in: What Is Market Capitalization?
Short
Going short means selling a pair. You gain if its price falls.Used in: Forex Trading Course for Beginners: 7 Steps in the Right Order
Short selling
Betting that a price will fall. Losses grow if the price rises instead, and borrowed money makes it riskier.Used in: 5 Big Bitcoin Crashes: What Happened and What They Really Teach
Signal
A trade idea someone sends you, such as 'buy EUR/USD at 1.1000, stop 1.0975, target 1.1050'.Used in: Forex Signals: How to Check a Signal Service Before You Trust It
Signals group
A paid chat or service that sends trade ideas. Check any claimed win rate before you trust it.Used in: Free Stock Trading Courses: Where to Find Them and How to Choose
Simulator
An app that copies a real trading screen but uses virtual money, so no real money is at risk.Used in: What Is Paper Trading?, Crypto Practice Plan: 6 Exercises Before You Use Real Money, Best Forex Trading Apps: Trading, Lessons and Practice
SIPC
A US scheme that protects customers' shares and cash, up to set limits, if a member broker fails. It does not cover market losses.Used in: 14 Stock Trading Apps for Beginners: Brokers and Practice, Best Mobile Trading Platforms: 12 Apps Compared
Slippage
The gap between the price you expected and the price you actually got, often in a fast market.Used in: How Much Is a Forex Pip Worth?, Forex Signals: How to Check a Signal Service Before You Trust It, 7 Daily Trading Tips for Beginners: Simple Habits to Manage Risk
Small-cap
A company with a small market cap. FINRA's example range is $250 million to $2 billion.Used in: What Is Market Capitalization?
Social trading
Using an app or website where people share trades and ideas, and others can follow or copy them.Used in: Social Trading for Beginners: Real Benefits and Hidden Risks
Special dividend
A one-off extra payment from a company. It may never be repeated.Used in: How to Choose Dividend Stocks: A 6-Step Health Check for Beginners
Speculators
People or funds that trade to profit from price moves, not to pay bills or buy assets.Used in: Who Trades Forex?
A company that pays a show to mention its product.Used in: 13 Best Investing Podcasts to Listen to in 2026
Spot
A deal to swap currencies now, at today's price, rather than at a later date.Used in: Who Trades Forex?
Spot trade
Swapping one currency for another at today's price, rather than through an option or a future date.Used in: 5 Famous Forex Traders: Their Stories and What They Can Teach You
Spread
The gap between the buying price (ask) and the selling price (bid). You pay it every time you trade.Used in: Forex Market Hours: When Can You Trade?, The ABC of Forex Trading: Pairs, Pips, Lots and Leverage, How Much Is a Forex Pip Worth?
Sterling
Another name for the British pound (GBP).Used in: Forex Currency Nicknames: Cable, Loonie, Kiwi and More
Stock exchange
A market where shares are bought and sold, such as Nasdaq, the TSX, the London Stock Exchange or the ASX.Used in: Stock Market Investing for Beginners: How Shares Work
Stock market simulator
An app or website where you buy and sell shares with virtual money at real or delayed prices.Used in: Best Stock Market Simulators (2026): 10 Ways to Practise
Stock screener
A tool that lists stocks matching filters you choose, such as size or sector.Used in: 10 Best Free Investing Tools for Beginners (2026)
Stock screeners
Tools that filter thousands of stocks by numbers such as price, dividend yield or company size.Used in: The Stocks Growth List: Free Stock Market Resources for Beginners
Stock split
When a company cuts each share into more, cheaper shares. The total value stays the same.Used in: What Is Market Capitalization?
Stop
A stop-loss order: an instruction to close your trade if the price reaches a set level. It may fill at a worse price.Used in: The ABC of Forex Trading: Pairs, Pips, Lots and Leverage, Paper Trading Journal: A Free Template to Review Practice Trades, 7 Daily Trading Tips for Beginners: Simple Habits to Manage Risk
Stop-limit order
An order that waits for a trigger, then becomes a limit order. It protects your price but may not fill.Used in: Market, Limit and Stop Orders: Which Should You Use?
Stop-loss
An order to close a trade if the price reaches a level you set. In a fast market or a gap it can fill at a worse price.Used in: How to Calculate the Risk-Reward Ratio (With a Simple Forex Example), Beginner Forex Trading Course: 6 Practice Tasks With Answers, Bitcoin Memes: 13 Funny Favorites and the Truth Behind the Jokes
Stop-loss order
An order to close a trade if the price reaches a level you set. In a fast market or a gap it can fill at a worse price.Used in: Forex Margin vs Leverage: Why Your Deposit Is Not Your Loss Limit, Best Forex Brokers for Beginners: Compare by Country, 7 Habits of Successful Forex Traders, and What Habits Can't Do
Stop order
An order that waits until the price reaches a trigger, then usually becomes a market order. It can fill at a worse price.Used in: Market, Limit and Stop Orders: Which Should You Use?, What Is Paper Trading?, 5 Ethereum Crashes and Shocks: What Happened and What They Teach
Strategy
A written set of trading rules: when to enter, when to exit, how big to trade and how to count costs.Used in: Forex Trading Strategies for Beginners: 8 Ideas and How to Test Them
Strike price
The agreed price for buying or selling the underlying when an option is exercised.Used in: Calls and puts: what are you actually buying?
Supplemental dividend
An extra, one-off dividend on top of the regular one. It can change or stop.Used in: 10 Well-Known Dividend Stocks to Research in 2026
Support
A price area where falls have stopped before. It may stop the next fall, or it may break.Used in: Forex Market Analysis: Fundamental vs Technical, How to Read Forex Charts: Candles, Timeframes and What Charts Hide, How to Read Stock Charts for Beginners: Candles, Volume, Trends
Survivorship bias
Seeing mostly the winners who are still around, which makes success look more common than it is.Used in: Bitcoin Millionaires: Real Stories and What the Headlines Leave Out, 5 Famous Forex Traders: Their Stories and What They Can Teach You, How to Backtest a Trading Strategy Without Fooling Yourself
Swing trading
Holding trades for a few days to a few weeks.Used in: 15 Forex Strategies and Patterns for Beginners (and How They Fail)
Syllabus
The list of topics a course covers, in order.Used in: Free Stock Trading Courses: Where to Find Them and How to Choose

T

T+1
Settlement one business day after the trade date. T+2 means two business days.Used in: Stock Settlement in the US and Canada: What T+1 Means
Taker
An order that fills at once against an offer already waiting. Often charged a higher fee.Used in: Crypto Trading Costs: Spreads, Fees and Order Types
Target
A price you set in advance where you plan to take your profit. Also called a take-profit.Used in: How to Calculate the Risk-Reward Ratio (With a Simple Forex Example)
Technical analysis
Studying past prices, and often volume, on charts to describe how a market moved and to build trading rules.Used in: Forex Market Analysis: Fundamental vs Technical, Basics of Technical Analysis: Trends, Support and Indicators
Ticker
The short code for a share or fund on an exchange, such as KO for Coca-Cola.Used in: How to Start Investing in Stocks: A Simple First Plan, 14 Stock Trading Apps for Beginners: Brokers and Practice
Time frame
The length of time each bar or candle on a chart covers, such as 5 minutes, 1 hour or 1 day.Used in: How to Read Candlesticks: Open, High, Low and Close, Basics of Technical Analysis: Trends, Support and Indicators
Time horizon
How long you plan to keep money invested before you need to spend it.Used in: Free Online Stock Trading Course: A 6-Module Plan for Beginners
Time value
The part of an option premium above intrinsic value.Used in: When does a bought option actually make money?
Timeframe
The period each candle covers, such as 5 minutes, 1 hour or 1 day.Used in: How to Read Forex Charts: Candles, Timeframes and What Charts Hide
Total return
Your whole result: the change in the price plus any dividends received over a period.Used in: 10 Well-Known Dividend Stocks to Research in 2026, Dividend Investing Strategy for Beginners: Plan Income, Not Just Yield
Track record
The history of a trader's results over time, including the bad months.Used in: 5 Steps to Check an eToro Trader Before You Copy
Trade confirmation
The record your broker sends after a trade, showing the price, the trade date and the settlement date.Used in: Stock Settlement in the US and Canada: What T+1 Means
Trade deficit
When a country buys more from abroad than it sells abroad.Used in: What Influences Exchange Rates? 6 Main Drivers
Trading journal
A record of each trade: the plan before it, what happened, and what you learned.Used in: Paper Trading Journal: A Free Template to Review Practice Trades
Trading platform
The app or program you use to see prices and place orders. It is not the same as the broker.Used in: Best Forex Trading Platforms for Beginners: 10 Choices
Trading signal
A suggestion to buy or sell something, often with a price. You decide whether to act on it.Used in: Social Trading for Beginners: Real Benefits and Hidden Risks
Transaction ID
A public code for one crypto payment. Anyone can use it to look the payment up.Used in: Crypto Scams: How to Spot the Warning Signs Before You Send Money
Trend
The general direction of a price over a period: up, down or sideways.Used in: How to Read Stock Charts for Beginners: Candles, Volume, Trends, Basics of Technical Analysis: Trends, Support and Indicators
Trigger price
The price that wakes up a stop or stop-limit order. It is not a promised fill price.Used in: Market, Limit and Stop Orders: Which Should You Use?

U

Uncovered call
A written call without the underlying shares needed to cover delivery.Used in: How much can an option position lose?
UTC
Coordinated Universal Time: the world's reference clock. It never changes for daylight saving.Used in: Forex Market Hours: When Can You Trade?, Stock Market Opening Hours: US, Canada, UK and Australia

V

Vests
When a share award becomes the person's to keep, because time has passed or targets were met.Used in: Highest-Paid Forex Broker CEOs: How to Read the Pay Numbers
Virtual portfolio
eToro's free practice account with pretend money, where copying works as it does with real money.Used in: Best Traders to Copy on eToro
Volatility
How much and how fast a price moves up and down.Used in: Crypto Volatility and Drawdowns: Why a 50% Loss Needs a 100% Gain
Volume
How many shares, contracts or coins changed hands in a period. Every trade has both a buyer and a seller.Used in: How to Read Stock Charts for Beginners: Candles, Volume, Trends, Basics of Technical Analysis: Trends, Support and Indicators

W

Wallet
An app or device that holds your keys and signs payments. It does not hold the coins themselves.Used in: Bitcoin Basics: How It Works and What You Own
Watchlist
A list of companies you are researching and following. It is not a list of stocks you own or should buy.Used in: AI and Robot Stocks: A Watchlist of 18 Companies to Research
Whale
Someone who holds a very large amount of one coin.Used in: Bitcoin Memes: 13 Funny Favorites and the Truth Behind the Jokes
Wick
The thin line above or below a candle's body. It reaches to the period's high or low.Used in: How to Read Forex Charts: Candles, Timeframes and What Charts Hide
Wicks
The thin lines above and below a candle's body, also called shadows. They reach the high and the low of the period.Used in: How to Read Stock Charts for Beginners: Candles, Volume, Trends, How to Read Candlesticks: Open, High, Low and Close
Win rate
The share of trades that made money. On its own it does not tell you whether you made money overall.Used in: Forex Signals: How to Check a Signal Service Before You Trust It, 5 Steps to Check an eToro Trader Before You Copy, 7 Habits of Successful Forex Traders, and What Habits Can't Do