image image

Education

image image image
Common Terms

1) ASK
The market price of the asset. Used in online trading in calculating expiration levels.
2) BID
The market selling price of the asset. Like Ask, in online trading, it is used to calculate the expiration level.
3) VOLATILITY
Statistical indicator that characterizes the trend of price volatility. It is an important financial indicator in financial risk management. It shows a measure of the risk of using a financial instrument for a given period of time.
4) MARKET CORRECTION
Price movement in the opposite direction to the current trend, which occurs due to overbought or oversold conditions of the financial instrument in question.
5) LEVERAGE
Borrowing capital to increase investment income. The ratio of a trader’s money to the total amount of funds that he trades.
6) MARGIN CALL
The situation when the balance of free margin runs low and the transaction can be closed without the participation of the trader. To avoid margin call, a trader can replenish his account or close some other open orders.
7) BALANCE
The status of the trader’s deposit, which does not take into account current operations. After the completion of each transaction, the state of the balance changes. If there is profit in the transaction, the balance amount increases, if the transaction is unprofitable, the balance decreases.
8) FISCAL POLICY
Measures taken by the country’s government to stabilize the economy by changing the amount of revenue and/or expenditure of the state budget.
9) TRUST MANAGEMENT
Liquidity or asset management. The investor transfers the management rights to a professional trader or fund manager. Asset management service allows you to receive high income by investing in various financial market instruments and competent portfolio management of such instruments.
10) BULLS
Market players that buy assets with the prospect of their growth in the future. The main task of the bull is to buy assets cheaply with further resale at high prices. Bull traders are looking for undervalued companies that should grow in the future to sell them later. This operation is called “open a long position”.
11) BEARS
Market players who sell assets with the prospect of lowering their prices (for example, when a company expects negative reporting). The main task of the bears is to sell assets at a high price, and then buy them at low prices.
12) CFD
An agreement on the exchange for difference in the value of a specific asset from the moment of opening the contract to the moment of its closing. Through CFD trading, traders speculate on rising or falling prices in rapidly changing markets.
13) SWIFT
Society for Worldwide Interbank Financial Telecommunication.
A SWIFT code is used to identify a specific bank during an international transaction, whereas an IBAN is used to identify an individual account involved in the international transaction. Both SWIFT codes and IBANs are essential components of the process by which individuals are able to transfer money overseas, and they both play an essential role in the smooth running of the international financial market.
14) MARKET OPEN
The time when financial markets start their work or resume it after weekends or holidays. As a rule, the opening of the market is tied to the beginning of the working day in the region where the trading takes place, so we can say that Forex works around the clock, as the sites open one after another, starting in Asia.

World Stock Exchanges opening times (24-hour format)
NYSE (New York Stock Exchange) 09:30-16:00
TSE (Tokyo Stock Exchange) 09:00-11:30/12:30-15:00
LSE (London Stock Exchange) 08:00-16:30
HKE (Hong Kong Stock Exchange) 09:30-16:00
NSE (National Stock Exchange of India) 09:00-15:30
B3 S.A. – Brasil, Bolsa, Balcão (formerly BM&FBOVESPA) 10:00-17:00
ASX (Australian Securities Exchange) 10:00-16:00
FWB (Frankfurt Stock Exchange – Deutsche Borse) 08:00-20:00
RTS (Russian Trading System) 09:30-19:00
JSE (Johannesburg Stock Exchange) 08:30-17:00
DIFX (Dubai International Financial Exchange- now NASDAQ Dubai) 10:00-14:00
SSE (Shanghai Stock Exchange) 09:15-11:30/13:00-15:00
NZSX (New Zealand Stock Exchange) 10:00-17:00
TSX (Toronto Stock Exchange) 09:30-16:00