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Glossary

AML
 Anti-Money Laundering policies and procedures are implemented to stop criminals from hiding or disguising illegally obtained funds.

Assets
 A financial instrument that can be traded or transferred between investors.

Ask Price
 The Ask Price represents the amount a seller is willing to accept for an asset.

Analysis
 A detailed evaluation of the market’s structure or elements, usually carried out through both fundamental and technical analysis.

Bid Price

The Bid Price is the amount that buyers in the market are willing to pay for an asset.

 

Bonds

A Bond is a financial instrument issued by governments or private organizations to raise funds from the public, with a commitment to repay the amount over a set period along with interest.

 

Bankruptcy

Bankruptcy is a legal procedure that occurs when a company cannot meet its debt obligations due to reduced income, rising expenses, or an unexpected financial crisis.

Candlestick Chart

A Candlestick Chart is a type of chart that illustrates the opening and closing prices, along with the highest and lowest points within a specific time period.

 

CAA Commission

CAA Commission is the fee clients pay when executing trades or transferring funds internationally through the trading company’s approved channels.

 

Contracts

Contracts represent the number of transactions occurring in the financial trading market. The value of a contract can vary based on the asset and market. For instance, currency contracts are traded in lots, while gold is traded in ounces.

 

Currency Pairs

The exchange rate between two currencies. Currency Pairs are grouped into three main categories: Major, Minor, and Exotic.

 

CFDs

CFDs, short for Contract for Difference, are tradable financial derivatives that enable investors to speculate on market movements without owning the actual asset. These instruments are commonly traded using leverage.

Day Trading

Day Trading is a trading strategy where positions are opened and closed within the same trading day. One of the advantages of Day Trading is the avoidance of overnight exchange costs.

 

DAR

Clients are charged DAR fees when their digital assets require formal registration, validation, or tokenization by the trading company for purposes such as trading, compliance, or custody.

 

Decentralized

Decentralized refers to a system or market that operates without control from a single entity, such as a central bank or exchange. Digital currencies are considered decentralized because they are based on blockchain technology, allo

Fundamental Analysis

Fundamental Analysis is a method of evaluating the market by examining how economic indicators and events influence the supply and demand of an asset, ultimately affecting its price.

 

Futures

Futures are derivative instruments that allow traders to speculate on price movements without possessing the underlying asset.

Hammer Candlestick

A Hammer Candlestick refers to a candlestick pattern characterized by a small upper body and a long lower shadow or tail.

Initial Margin
Initial Margin is the minimum amount of capital required to open a trading position in the market. It is most commonly linked to leveraged products.

Interbank Market
The Interbank Market is a global network mainly used by financial institutions to trade currencies and currency-related derivatives.

Japanese Candlesticks

Japanese Candlesticks are a type of chart representation that display an asset’s opening, closing, high, and low prices for a specific time period.

KYC

KYC, or Know Your Customer, is a process used to officially verify a client’s identity in accordance with local regulations, either before or at the time they begin conducting business. This typically involves providing identification and proof of address.

 

Lot

In forex trading, a Lot represents the size of a transaction. One Lot is equivalent to 100,000 units of the base currency.

 

Leverage

Leverage is when a broker increases your buying power, enabling you to trade larger positions with only a portion of the required capital. This amplifies both potential profits and risks.

Margin Call

A Margin Call is a notification sent to traders when their account balance drops below the required minimum capital. It gives traders a chance to take action before reaching the minimum; if not addressed, the platform may start closing positions automatically.

 

Mutual Funds

Mutual Funds are pooled investments designed to spread risk across multiple assets and markets.



Options

Options are derivative products that allow traders to speculate on the price movement of an asset without actually owning it.

 

OTC

OTC, or Over the Counter, refers to financial instruments that are typically traded through a broker or another type of intermediary.

Pip

A Pip is the fourth digit after the decimal point in a currency quote, representing the smallest unit of price movement in forex trading.

 

Pair

A Pair refers to the value of one currency compared to another.

 

Pivot Point

A Pivot Point is a price level where an asset’s direction may change, often serving as a support or resistance level.

Slippage

Slippage occurs when a trade is executed at a price different from the intended price, usually due to high market volatility.

 

Swap

Swap is an overnight fee applied to a trade.

 

Swing Trading

Swing Trading is a short-term trading strategy where traders aim to profit from market movements lasting more than a day but less than a week.

 

Scalping

Scalping is a trading approach that targets very short-term price movements for quick profits.





 

Take Profit

Take Profit is an order set to close a trade once the market moves in your favor and reaches a specified price, ensuring a profit.

 

Trend

Trend refers to the general direction in which an asset’s price is moving.

 

Technical Analysis

Technical Analysis involves studying price movements, charts, and technical indicators to evaluate market conditions.

 

Technical Indicators

Technical Indicators are mathematical calculations applied to charts based on price movements, momentum, and historical patterns, providing traders with additional signals.

Volatility

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

Volatility

Volatility is the degree to which the price of an asset or currency fluctuates over time.