Financial Dictionary

Available for with draw	The amount you can withdraw. It is equal to your current equity minus the funds required to maintain your account above the margin call risk in the event of an existing open position.
ADP NON-FARM EMPLOYMENT CHANGE化	The estimated change in employment in the last month does not include agriculture and the government.
ASK (PRICE)	The price at which a trader can buy an asset. It is highlighted on the right side of the quote.
ASSETS	Assets are resources (financial or other) owned by individuals, companies or countries that have economic value or are expected to provide value in the future.

BALANCE	The value of your account does not include the profit or loss of the open position - it is equal to the amount of money you deposited in the account and the profit or loss of your closing position.
BASIS POINT	Every ten thousand symbols or base points is one hundred percent or equal to one ten thousand.
BEAR MARKET	A market is characterized by a fall in prices (against a bull market) when investors are pessimistic.
BID (BUY) PRICE	A bid is the price at which the market is prepared to buy an asset. At this price, traders can sell assets. This is shown on the left side of the quote.
BULL MARKET	A market with rising prices.

CURRENT TRADING HOURS	The number of hours per day for the trading instrument. All the time is GMT.
CURRENCY	An exchange unit issued by a national government or central bank. This unit is the basis of trade.
CONTRACT (UNIT OR LOT)	Standard trading units of some exchanges.
CFD (CONTRACT FOR DIFFERENCE)	The contract between the two parties, usually referred to as "buyer" and "seller", stipulates that the seller will pay the buyer the difference between the current value of the assets and its value at the time of the contract (if the difference is negative, the buyer will pay the seller). In fact, contracts for differences are financial derivatives that allow traders to take advantage of the price of underlying financial instruments to rise (long position) or fall (short position).
CPI	Changes in the prices of goods and services purchased by consumers; Consumer prices account for the majority of overall inflation. Inflation is important for currency valuation, because rising prices lead the central bank to raise interest rates so that they are not affected by inflation restrictions.
CABLE	The slang for foreign exchange currency pairs is GBP / USD.
CLOSE (POSITION)	The process of closing a transaction that will terminate an open transaction.
CURRENCY PAIR	Two currencies that form a currency quote, such as USD / CHF.
COMMISSION	Fees charged by trading institutions.
CENTRAL BANK	A central bank is an institution that manages a country's money, money supply and interest rates and supervises its commercial banking system. The Central Bank of the United States is the Federal Reserve, while the Bundesbank is known as the German Federal Reserve Bank.

DIVIDENDS	Dividend is a part of the company's income, which is decided by the board of directors and paid to a class of shareholders. Dividends may be paid in cash and issued in the form of shares or other property.
DAY TRADING	It represents the act of buying and selling financial instruments many times in one day or even on the same day.

EQUITY	The value of your current account - it is equal to your balance plus any gain or loss on your open position.
EURO	The official currency of EU Member States. It was launched in 1999 and introduced euro coins and notes in 2002.
EUROZONE	19 of the 28 EU member states have merged their coins into a single currency (Euro). They still have independent sovereigns, but they also have a joint central bank (ECB) as a whole to manage economic policy issues for them.
EXECUTION	In trading: a broker makes a buy or sell order on behalf of a trader.
EXPIRY (EXPIRATION) DATE	The expiration date of the contract, can not be traded. In contract for difference trading, it is most commonly used in futures contracts.

FREE MARGIN	The total amount of money you can use as initial margin for a new position. It is calculated by subtracting the deposit used for the current open position from your equity.
FUTURES	A way of trading financial instruments, currencies, or commodities at a specific price on a specific date. Unlike options, futures are given the obligation (not options) to buy and sell instruments later.
FOREIGN EXCHANGE (FOREX OR FX)	Buy one currency and sell another in the OTC market at the same time.
FEDERAL FUNDS RATE	The interest rate at which a depositor, or bank, pays the federal reserve funds to another overnight depositor. This is a closely monitored short-term interest rate as it shows EDF's view of the money supply situation.
FEDERAL OPEN MARKET COMMITTEE (FOMC)	As a branch of the Federal Reserve, it determines the direction of monetary policy in the United States: adjusting the discount rate, establishing the bank reserve ratio, and setting monetary quality targets.
FUNDAMENTAL ANALYSIS	Analysis based on economic and political data is used to determine the future development of financial instruments.

GDP – GROSS DOMESTIC PRODUCT	Changes in the inflation adjusted value of all goods and services produced by the economy; This is the most extensive indicator of economic activity and the main indicator of economic health.
GTC (GOOD TILL CANCELLED) ORDER	An order to buy or sell assets at a fixed price. The order remains valid until the trader cancels.

HEDGING	The practice of investing to prevent losses in other investing activities, such as short selling to neutralize previous purchases, or long-term buying to offset previous short selling. Although hedging reduces potential losses, it also tends to reduce potential profits.
HIGH/LOW	The highest and lowest transaction prices of an asset over a predefined period of time.

INITIAL MARGIN	Represents the minimum equity required to open a new position.
INTEREST RATE	The ratio of the balance lent by deposit taking institutions to the central bank overnight and to other deposit taking institutions; Short term interest rates are the primary factor in currency valuation - traders focus only on most other indicators to predict how interest rates will change in the future.
INITIAL PUBLIC OFFER	The first time a private company offers shares to the public.

KIWI	Slang for the New Zealand dollar.

LEVERAGE	Leverage is an investment technology that uses a small amount of money to make higher value investments.
LIMIT ORDER	An order is an order to buy or sell at a specified price or better. Buy limit orders (buy limit orders) are executed at the specified limit price or lower price (i.e. better). Instead, a sell limit order (sell limit order) is executed at a specified limit price or higher (again, better). Unlike a market order, you just press buy / sell and let the market choose the price. You must specify the price when using a limit order.
LONG (OR LONG POSITION)	It is the purchase of securities, commodities or currency, etc., expecting the value of assets to rise.
LIQUIDITY	The market's ability to accept large transactions has little or no impact on price stability.

MAINTENANCE MARGIN	The minimum equity amount required to maintain the current open position. If your asset level is below this number, your open position will be automatically closed.
MARGIN LEVEL	Indicates the distance between your account and margin call. Calculated as equity / initial margin and shown in%. When the margin level falls below 100%, you will not be able to open a new position. If it drops to 50%, all your open positions will be closed and the work order will be automatically cancelled.
MINIMUM TRADE SIZE	The minimum amount of financial instruments that can be traded.
MARKET ORDER	Whether to buy or sell the investment immediately at the best price.
MARGIN CALL	The broker or dealer requires additional funds or other collateral to bring the margin to the required level – thereby ensuring position performance to the customer.

NON-FARM EMPLOYMENT CHANGE	Changes in the number of employed people last month, excluding agriculture; Also known as the number of non farm employment, NFP. Employment creation is an important leading indicator of consumer spending, accounting for the vast majority of the overall economic activities.
NON-FARM PAYROLLS (NFP)	The estimated change in employment in the last month does not include agriculture and the government.

OPEN P&L	The total profit and loss of all open positions.
OVERNIGHT INTEREST	Is your account a credit or a debit when you hold an overnight position. This will take place at the end of each trading session.
OVERNIGHT INTEREST TIME	The time when overnight interest is charged or debited from your account.
OVER THE COUNTER (OTC)	Used to describe any transaction not conducted through an exchange.
OVERNIGHT POSITION	Open position, open position at the end of trading day and keep overnight.

PIP	A term used in money markets to denote the smallest incremental change that can be made in the exchange rate. Depending on the circumstances, this is usually a basis point (0.0001) in the case of EUR / USD, GBP / USD, USD / CHF and USD / JPY.
PIVOT POINT	Is a technical analysis indicator, used to determine the overall trend of the market in different time periods. The hub itself is the average of high, low and closing prices of the previous trading day.
PPI	Changes in prices of finished products and services sold by producers; It is a leading indicator of consumer inflation – when producers charge more for goods and services, they usually pass on higher costs to consumers.
PROFIT/LOSS	The total profit and loss of all open positions.

QUOTE	Indicative market price, showing the highest and / or lowest bid available for a security at any given time.
QE	It is an unconventional monetary policy in which the central bank purchases government securities or other securities from the market to reduce interest rates and increase money supply.

ROLLOVER DATE	The price of a contract for difference comes from its related future contract. Due to the maturity date of future contracts, the open positions of such contracts will be transferred at the end of the designated trading day of the assets before the maturity date of future contracts. The transfer adjustment will be credited or debited accordingly.
RATE	The price of one currency relative to another.
RESISTANCE (RESISTANCE LEVEL)	Chart point or range is the range that limits the increase of assets over a period of time.
RETAIL SALES	Changes in total retail sales; It is the main indicator of consumer spending, accounting for the majority of overall economic activity.
ROLLOVER	The process of holding a position beyond maturity.

STOP LOSS (S/L)	Whether the order is signed with the broker to sell the securities at a specific price. The stop loss order is designed to limit the loss of investors' positions in securities.
STOP ORDER	An order to buy or sell securities when the price rises more than a specific point, thus ensuring a higher probability of a predetermined entry or exit price, limiting the loss or locking profits of investors. Stop loss orders become market orders once the price exceeds the predetermined entry / exit point.
SHORT (OR SHORT POSITION)	It is a kind of directional trading or investment strategy. Investors sell borrowed stocks on the open market. The investor's expectation is that the price of the stock will decline over time, when he will buy the stock on the open market and return it to his borrowed stock.
STANDARD DEVIATION	It is a measure used to quantify the change or dispersion of a set of data values. The low standard deviation indicates that the data points tend to be close to the average of the set, while the high standard deviation indicates that the data points are distributed over a wider range of values.
SUPPORT OR SUPPORT LEVEL	It refers to the price level of assets that is difficult to decline in history. This is the level where buyers tend to enter the asset.
SPREAD	The difference between the bid price and the offer price in the market quotation.
SWISSY	Slang for the Swiss franc.

TAKE PROFIT (T/P)	Is an order type that specifies the exact price at which to close open positions for profit.
TRADE BALANCE	Report the difference of import and export goods value in the month; Export demand is directly related to monetary demand, because foreigners must buy their own currency to pay for the export of the country. Export demand also affects the production and price of domestic manufacturers.

USED MARGIN

Represents the total amount of margin currently used for open positions. It is calculated by adding all the initial margin of the open position.

UNEMPLOYMENT CLAIMS

Number of people applying for unemployment insurance for the first time in the past week; Although it is generally regarded as a lagging indicator, the number of unemployed is an important signal of the overall economic health, because consumer spending is closely related to the situation of the labor market. Unemployment is also a major consideration for those who guide the country's monetary policy.

VOLUME	The amount or value of securities traded in a particular period.
VOLATILITY	The standard deviation is used to calculate the statistical index of market or security price changing with time.