Appreciation
When the value of a currency rises over time.
Ask Price
The market price offered to traders for purchasing of currencies.
At the Money
This describes a situation where the price of an option at the point of expiration is equal to its strike price, resulting in a neutral gain.
Asset/Underlying Asset
Often referred to as an underlying asset, this term is used to indicate the type of item you are trading on. For example: USD/EUR, Gold, Silver, etc.
Bar Chart
A graphical chart that illustrates the price fluctuations of financial instruments.
Base Currency
The first currency of a currency pair. Eg: The Euro in EUR/USD.
Bear Market
A term used to describe a financial market in which prices are in general decline.
Bid Price
The price at which a trader is prepared to sell an asset or security.
Broker
A person or company who acts as an agent through which traders are able to buy and sell assets.
Bull Market
A term used to describe a financial markets in which prices are generally rising.
Call Option
This refers to a type of FX Derivatives that generates profits when the value of the asset you are purchasing increases by the time of your chosen expiry.
Candlestick Chart
A chart displaying the daily high, low, opening and closing price of a financial instrument.
Counter Currency
The second currency in a currency pair. Eg: The USD in EUR/USD.
Current Price
The live reflection of the price of an asset at a point in time.
Depreciation
When the value of a currency falls over time.
Deposit
The act of adding funds into your trading account so you may begin trading.
Expiration/Expiry Time
The time at which a FX Derivatives expires. Typically, FX Derivatives trading uses shorter expiry times in the range of 1min to 1hr.
Fixed Return
This refers to a profit amount that does not vary regardless of the asset value.
Fundamental Analysis
One of the methods of evaluating assets in which current economic and political data is analyzed. You can view a more in-depth description here.
In the Money
This describes a situation where a purchased option realizes a gain and the trader makes a profit.
Index/Indices
A list of securities reflecting a particular section of a financial market which functions as an imaginary portfolio.
Market Price
The price of a FX Derivatives underlying asset at a point in time.
Pip
A unit of measurement assigned to changes in exchange rate for a currency pair.
Position
The amount of currency a trader owns or owes.
Put Option
This refers to a type of FX Derivatives that generates profits when the value of the asset you are purchasing decreases by the time of your chosen expiry.
Payout
The financial profit that is realized when a trade expires.
Risk Management
Strategies adopted that help minimize or eliminate financial risk.
Stock Exchange
The place in which shares, stocks or securities can be bought and sold.
Strike Price
The price at which a trader can buy or sell an underlying asset.
Technical Analysis
One of the methods of evaluating assets in which previous market data is analyzed to identify trends and forecast future prices of underlying assets. You can view a more in-depth description here.
Trading Minimum
The minimum amount of funds required to execute a FX Derivatives.
Withdrawal
The act of adding funds into your trading account after you have made successful investments.