Trading Glossary

A trader who focuses on global macroeconomic trends such as interest rates, inflation, and geopolitics.

The minimum amount of equity an investor must keep in a margin account to maintain open positions. Falling below it can trigger a margin call.

Investment funds run by professional traders who use futures contracts to try to profit in both rising and falling markets. They’re often used to diversify portfolios and manage risk.

Annual fee charged by fund managers for managing investments.

A brokerage account that lets investors borrow money to trade assets. It increases buying power but also raises the risk of losses.

A margin call happens when the value of your trading account falls too much and your broker asks you to deposit more money (or sell some positions) to cover potential losses. If you don’t, the broker can close your trades automatically.

The initial amount of money a trader must put down to open a leveraged position, representing a fraction of the total trade value. It acts as security for the broker against potential losses, which are also magnified by leverage.

Using borrowed funds from a broker to trade assets.

The total value of a company's shares, calculated as price multiplied by the number of shares.

Information about a particular market, which can be either financial or business-related. Financial market data includes live and historical details like prices, bid/ask quotes, and trading volumes for instruments such as stocks and currencies.

A measure of how much buying and selling interest exists at different price levels. It shows how easily large trades can be executed without moving the price.

The idea that asset prices already reflect all available information. In an efficient market, it’s very hard to consistently “beat the market” because prices quickly adjust when new information appears.

A firm or individual that provides liquidity by continuously quoting buy and sell prices. They help keep markets active and prices stable.

An investment approach that aims to profit from both rising and falling prices while minimizing overall market risk.

An order to buy or sell immediately at current market price.