The Complete Dictionary of Forex (part 3)



Flat
The term trader/dealer on the market that is stagnant. For example, you buy a $ 5,000 and sold $ 5000 so called flat (flat).

Foreign Exchange (forex, FX)
The exchange of foreign currencies, by simple it is to buy and resell it at a different price.

Fundamental Analysis
Economic and political analysis with the purpose of determining the rate of Exchange in the future.

Gross Domestic Product (GDP)
The overall value of a country's production yield, income based on the physical boundaries of the country.

Gross National Product (GNP)
GDP plus the income from the investment income or income from the other outside.





Hedge
A position or a combination of some of the positions that were taken to mitigate the risk of loss.

Hit the Bid
The term sales on a bid received as desired.

Economic Indicators
Government-issued statistical data related to the growth of its economy. Common indicators include unemployment, gross domestic product, inflation, retail sales, etc.

Inflation
Economic conditions where the price of goods increased thus reducing power consumption.

Initial Margin
The minimum deposit that is worn to start the transaction as collateral in the future (future).

Intervention
Action taken by the Central Bank to control the currency of the country concerned.

Leading Indicator
The main statistic used to predict economic activity in the future.

Forex Leverage
Also called margin. The ratio of required transactions on forex. For example, if the assigned leverage 1: 100, then $ 500, customers can buy Dollars 100 times the $ 50000.

Limit Order
Used to limit the maximum value at the desired transaction so that when the desired rate has reached the position will be closed automatically.

Liquidation
The closure of an existing position through the execution of a trader or performed by the system.
Long Position position opened on a long span of time.

Lot
Standard units for the deal to happen. Any deal, a set value is in number of lots. In Indonesia, the amount varies depending on the policy Dealer/Broker.

Margin
The necessary capital as collateral in the deal.

Margin Call
A request from a broker for the deposit in order to add any number of positions that are not terlikuidasi therefore, the margin has been exhausted.

Offer (ask)
Rate given the dealer at the time of the sale of the exchange rate.

One Cancel Others (OCO)
One order cancels other orders between the two because one order has been executed.

Open Order
Orders which are executed.

Open Position
The active transaction. Change the value of the exchange rate for the pair who happen also means changes to the open profit/loss.

Order
Instructions to execute a trade at a certain rate.

Overnight Position
Open position which lasted until the business day on the next day.

Pair
The currency pair traded.Example EURUSD, GBPUSD, etc.

Pips
The smallest unit of forex. The last two numbers taken pips from the value of the exchange rate, also called the point. For example GBPUSD today move from 1.8250 1.8200 to GBPUSD it means increase by as much as 50 pips or 50 points

Political Risk
The risks that may arise due to exchange rate changes on the subject of politics.

Premium
For each transaction that passes through one day (overnight position) then the premium will be charged by the bank that the amount can be positive or negative.

Price Transparency
Concerns the validity of the price offered by the dealer. The price should be accessible to everyone and is valid.

Profit/Loss or P/L or Gain/Loss
Profit/loss after realization-the opened position on the lid.

Forex Quote
The value of the exchange rate. Usually used only for more information.

Range
The difference between the highest and lowest price at a specific moment.

Resistance Point
Certain psychological level that was above the price at the moment. At the moment by the resistance point expected the market would sell back exchange rate that has been purchased so that exchange rates will weaken.

Revaluation
Rise of the exchange rate of a currency due to the intervention of the Central Bank of the country in question. The opposite of devaluation.

Risk
Risks due to things that are uncertain or outside existing calculations that could potentially cause harm.

Risk Managemet
A number of analysis and facilities which are used to minimize risks and prevent losses.

Roll Over
Trading contracts that are forwarded on the next day until he did, closing the position. Products on the trading floor is a contract of this type.

Settlement
The process of placement and recording transactions placed by traders concerned the price and the applicable base rate. Performed by the dealer through the system.

Short Position
Another term for the opening of the Open Sell.

Spot Price
Market price at the time.

Spread
Difference in pips for the open position at the price of "buy" and "sell" rates. The smaller the Spread, the more profitable due to Investor to break even (BEP) does not require a large price movement.

Sterling
In other words, the currency of the United Kingdom Pound.

Stop Loss Orders
The order was given for a transaction at a certain point so that when Exchange rate exchange rate has touched the point, automatically order closed position. This is the "lower boundary" to prevent further losses.

Support Level
A certain lower limit that has been analyzed. Expected by these limits, exchange rate exchange rate will come back strengthened. Is the opposite of "resistance".

Swap
A currency swap is the simultaneous transactions on a specific amount of a given currency at a level determined later.

Swissy
The term for the currency of Switzerland Francs.

Technical Analysis
An attempt at a review or analysis of the price of a currency by applying statistical data such as the price that have occurred, the average price, volume, and others.

Tick
Price change in the shortest span.

Tomorrow Next (Tom/Next)
This type of transaction is the purchase or sale of a currency for delivery the day after.

Transaction Cost
The cost of financial transactions is required.

Turnover
The total value of money (volume) in the entire financial transaction at a time.

Uptick
Prices of the new exchange rate whose value turned out to be higher than the predicted value

US Prime Rate
Interest rates on loans given by commercial banks to consumers primarily commercial. Other types of interest rates usually depends on the type of interest rates, which in many respects? but not always--rely on future trends and potential trends in the future.

The Value Date
The date specified by a brokerage firm for the needs of a given transaction or payments due, under normal circumstances it normally takes two working days. Also known as the due date.

Variation Margin
The funds must be requested a broker on his clients to the need for a position in a currency market to the clients is maintained by.

Volatility
A price said high volatility when the price moves off up and down quickly.

Volatility (Vol)
A statistical method of measuring price movements in the market within a certain time period.

Whipsaw
Another term for a market condition that has a high degree of price volalitas, where a currency move very fast in one direction, and then followed by a reversal of the price instantly.





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