Glossary
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A
- AUS 200
- Another name for the Australian Securities Exchange (ASX 200); 200 stands for top 200 (by market capitalization) companies listed on the ASX.
- Abnormal Market Conditions
- a rapid or thin market.
- Account history
- a register of completed transactions, balance operations and cancelled orders in the customer’s account.
- Ask
- The price a seller or market-maker is willing to accept for a traded instrument; also known as the offer price; a price for establishing an open Buy position.
- Aussie
- Aussie or Ozzie are nicknames for the AUD/USD currency pair.
- Available Margin
- Also called free margin; a rest of funds in the customer’s account with the deduction of margin, floating profit/loss and rollovers summary.
B
- BOC
- Bank of Canada (Canada’s central bank).
- BOE
- Bank of England (UK’s central bank).
- BOJ
- Bank Of Japan (Japan’s central bank).
- Balance
- a summarized financial result of all funds deposited in, and withdrawn from the customer’s account, and of all closed positions in that account.
- Base Currency
- The first currency in a currency pair (e.g. if EUR/USD rate is 1.3283 then one EUR is worth 1.3283 USD).
- Base Rate
- The given central bank country lending rate, which is used by banks to calculate the interest rate given to borrowers.
- Basis Point
- a unit that describes the minimum change in the price of a product.
- Bear
- Slang for a trader who expect prices to decline; trader who is holding a short position.
- Bearish / Bear market
- Slang for a downtrend market (price is declining).
- Bid
- The price offered for selling a particular financial instrument, i.e the price at which a buyer is willing to pay for the particular financial instrument.
- Bull
- Slang for a trader who expect prices to rise; trader who is holding a long position.
- Bull / Bullish Market
- Slang for an uptrend market (price is rising).
- Buy Limit
- A pending order for establishing an open Buy position in the customer’s account. In the event that the price on the specified instrument falls to the specified level; it can be only executed at the Ask price, and then placed below the current Ask price of the specified instrument.
- Buy Position
- An open position that represents expectation that the market price will increase (e.g. buying the base currency against the quote currency, or buying a contract for difference on an underlying security rate).
- Buy Stop
- a pending order for establishing an open Buy position in the customer’s account, in the event the price on the specified instrument rises to the specified level; can be only executed at the Ask price and placed above the current Ask price of the specified instrument.
C
- CAC40 (FRENCH INDEX )
- Short name for the French Stock Exchange; 40 stands for top 40 companies (by market capital).
- CBs
- Short for central banks.
- CFD (Contract for Difference)
- An object of a electronic transaction based on the price fluctuation of an underlying asset (e.g. stock or futures contract).
- Cable
- Slang for the GBP/USD currency pair.
- Candlestick Chart
- One of the ways to view or present a chart. The Candlestick Chart indicates the opening and closing price in a chosen date range; if the close price is higher than the open price, then that area of the candlestick is not shaded, and vice versa if the open price is higher than the close price.
- Central Bank
- Usually a government organization that manages a country’s monetary policy.
- Chart
- a diagrammatic representation of historical quotes in the form of lines, bars or candlesticks.
- Client Terminal
- the MetaTrader 5 (hereafter called MT5) program designed for customer trading, exercising supervision over customer accounts, obtaining real-time and historical quotes, news and other market information that Easy way global may have made available to our customers. Also commonly used for technical analysis, automated trading by expert advisors, and for customer feedback via the internal mail system.
- Close
- A request or instruction for closing a specified position at the current market price.
- Close By
- A request or instruction for closing two locked positions on the same instrument.
- Commission
- An amount of service payments charged to the customer’s account.
- Contract
- A standard unit on the Forex market (e.g. 1 lot).
- Contract Details
- Parameters of an instrument specified by Easy way global for customer trading and published on the Easy way global website.
- Counterparty
- One of the participants in a financial transaction.
- Currency Pair
- Traded instrument based on the change of the value of one currency against another currency.
D
- DJIA or Dow
- Short for the Dow Jones Industrial Average or US30.
- Data Feed
- A stream of quotes in Easy way global ‘ MT5 trading platform.
- Deficit
- Negative balance for a trade or payment (i.e. not enough money).
- Demo Account
- Practice account.
- Dispute, Complaint, Claim
- an event that occurs when our customers believe that Easy way global ‘ actions or inactions are erroneous or contradictory to what is found in the Terms or/and the Admirals Customer Agreement, and vice versa.
- Dove
- Refers to easier monetary policy or lower interest rates; opposite to hawkish.
- Downtrend
- Declining price action, which can be described as lower-lows and lower-highs?
E
- ECB
- European Central Bank.
- ECN
- Electronic Communication Network, which eliminates the third party in executing an order.
- EST/EDT
- New York City time zone (United States Eastern Standard Time/Eastern Daylight Time).
- Equity
- a net worth of funds in the customer’s account.
- Exchange Execution
- Order execution mode where a transaction order is passed to an external gateway connected to an exchange or another liquidity provider.
- Exotic pair
- a less traded currency pair.
- Expert Advisor
- a program written in MQL4 (MetaQuotes Language 5) and executed by the Client Terminal for the purpose of automated trading in the customer’s account.
- Expiry
- An instruction for cancellation of a pending order at a specified time and date.
F
- FED
- The Federal Reserve Bank (USA central bank).
- FOMC
- The Federal Open Market Committee is the policy-setting committee of the FED.
- FTSE 100
- Short name for UK 100 index.
- FUTURES
- A standardized contract, traded on a future exchange to buy or sell a specified financial instrument at a a pre-determined price, at a future date.
- Fill
- Means the order has been successfully executed.
- Fill or Kill
- Order type where if the order cannot be filled, then it will be cancelled (killed).
- Floating Profit/Loss
- A difference value between the customer account’s equity and balance.
- Foreign Exchange
- ”Forex (FX) is the global market for buying one currency and selling another.”
G
- G7
- a group of seven nations including USA, Japan, Germany, UK, France, Italy and Canada.
- GDP
- Gross Domestic Product is the total value of a country’s output, income, or expenditure produced within its physical borders.
- Gap
- Significant difference between the two consecutive quotes; may be shown on charts as a blank field between bars or candles when the time period between the two quotes covers the bars or candlestick’s close time.
H
- Hawkish
- Refers to easier monetary policy or higher interest rates: opposite to dove.
- Hedge
- Combination of positions or a position that reduces the risk of your primary position
- Hedged margin
- Easy way global ‘ margin requirements for maintaining locked positions.
I
- Initial Margin (Margin)
- Easy way global requirement for security collateral to open a position.
- Instant Execution
- a request execution type that means all quotes shown in the Client Terminal can be accepted by Easy way global for customer trading, with no preliminary requests for quotes.
J
- JPN225
- Short name for the NIKKEI index.
K
- Kiwi
- Slang for the NZD/USD currency pair.
L
- Leverage
- Transaction size/margin ratio (e.g. 1:100 leverage means the customer needs to have 1% of the transaction size in his/her account as security collateral or margin).
- Locked Position
- Consists of equal long and short positions on the same instrument; locked positions require 50% of summarized margin for both positions.
- Long Position
- When the pair’s base currency is bought, the position is deemed long.
- Loonie
- Slang for Canadian dollar, which is also known as Funds.
- Lot
- A transaction size unit in MT5, where: 1 lot is equal to a contract on 100000 base currency units for currency pairs; 1 lot is equal to one unit of an underlying security for stock CFDs.
- Lot Size
- An amount of base currency units or underlying asset units that is specified by Easy way global ‘ contract as a transaction size per 1 standard lot.
M
- MARGIN CALL
- It is a demand for additional funds in order for open positions, held by the client, to remain in the market.
- MT5 Easy way global
- a software platform designed for online trading, which is the technology base for Easy way global customer trading services; consisting of MT5 Client Terminal (customer terminal), MT5 Server, MT5 Data Center, MT5 Multiterminal, MT5 Mobile and MT5 Smartphone.
- Margin
- A summarized value of the customer’s account funds that is reserved as security collateral for maintaining that customer’s open position; in accordance with Easy way global margin requirements.
- Margin Level
- An equity/margin percentage ratio.
- Margin Trading
- a customer trading service utilizing the leveraged technique, which allows the customer to make transactions exceeding his/her account deposit.
- Market Execution
- Order execution mode where a transaction is processed at the best price available on a trade server.
- Market Opening
- The time when instruments become available for customer trading after weekends, holidays, regular closing intervals or server downtimes.
- Market Order
- An electronic instruction for opening a position in the customer’s account, at the current market price.
- Modify
- A request for modification of a pending order level; a request for placement, cancellation or modification, or Stop Loss & Take Profit levels on an open position or pending order.
- Multiple Close By
- a request or instruction to close all locked positions in a customer’s account
N
O
- Open Position
- a contract for buying or selling an instrument within the customer’s account; the first part of a complete transaction and an obligation to make an equal counter transaction afterwards; also treated as the customer’s obligation to satisfy Easy way global margin requirements and to maintain, without notice or demand from Easy way global , a sufficient account balance at all times that continuously meets Easy way global margin requirements and the equity/margin minimum ratio specified by Easy way global (e.g. a minimum ratio of 30%).
- Order
- An electronic instruction for opening or closing a position in the customer’s account on a specified instrument, in the event its price reaches the specified level.
- Order Level
- a price specified by the customer in the order placement request as an instruction for opening a position in his/her account, at this price and under conditions determined by the order type.
- Over The Counter (OTC)
- Describes any transaction that is not conducted via an exchange.
- ormal Market Conditions
- The opposite of a rapid market; where there are no market data errors.
P
- Pending Order
- an electronic instruction for opening a position in the customer’s account, in the event the price of a specified instrument reaches a specified level; the customer is enabled to use pending orders that include Buy Limit, Sell Limit, Buy Stop and Sell Stop.
- Platform Time Zone
- The time which the Easy way global server is synchronized with; a time zone which is used for recording any events into the server log-file; Easy way global MT5 is currently synchronized with GMT .
- Point
- a minimum price change (e.g. 0.0001 for EUR/USD); also called a Pip.
- Price
- a two-way quote consisting of Bid and Ask prices; a position’s opening or closing price; an order level.
- Price Gap
- an event where the current Bid price is above the previous Ask price and vice versa.
Q
- Quote
- An electronic message about the current price displayed in the Client Terminal, which consists of demand price (Bid) and supply price (Ask).
R
- Rapid Market
- market conditions characterized by significant price changes in short periods of time that frequently cause wide gaps between consecutive quote values; commonly occurs immediately before and/or after important events (e.g. key economic reports on any G7 countries, press conferences by G7 financial ministers or central banks’ chairmen, central bank’ decisions on interest rates, market interventions, political or natural force majeure such as war or terrorism).
- Rate
- The base currency value in the quoted currency for a currency pair; the underlying asset value for a CFD.
S
- STP
- Straight through Processing, i.e. passing all transactions electronically to the execution venue without human intervention
- SWAP
- An amount of overnight adjustments paid or charged to the customer’s account at 23.59 in the platform’s time zone, in accordance with values specified in Easy way global contract details; it is a daily settlement for margin trading services.
- Sell Limit
- a pending order for establishing an open Sell position in the customer’s account, in the event the price on the specified instrument rises to the specified level; can only be executed at Bid price and placed above the current Bid price of the specified instrument.
- Sell Position
- An open position, which represents expectation that the market price will decline (e.g. selling the base currency against the quote currency or selling a contract for difference on an underlying security rate).
- Sell Stop
- A pending order for establishing an open Sell position in the customer’s account, in the event the price on the specified instrument falls to the specified level; can only be executed at Bid price and placed below the current Bid price of the specified instrument.
- Slippage
- a parameter of Expert Advisor that sets-up the maximum difference between the requested price and the dealer’s price, that is acceptable to Expert Advisor for opening a position in the customer’s account; a difference between the order’s price and its actual price execution.
- Split Close
- a partial position closing (e.g. closing 0.5 lots of 2 lots).
- Spread
- The difference between Bid and Ask price, which is evaluated in points.
- Stop Loss
- an order for closing a specified open position at a specified level, in the event the price moves in an unfavorable direction; can only be executed at Bid price and placed below the current Bid price with reference to Buy positions; can be only executed at Ask price and placed above the current Ask price with reference to Sell positions.
- Stop Out
- Compulsory closing of the customer’s open positions by Easy way global , in the event the customer’s account does not satisfy Easy way global margin requirements.
- Swissy
- Slang for the Swiss Franc.
- Symbol
- An object of an electronic transaction (e.g. currency pair, stock CFD, futures CFD); an instrument within MT5.
T
- Take Profit
- an order for closing a specified open position at a specified level, in the event the price moves in a favorable direction; can be only executed at Bid price and placed above the current Bid price with reference to Buy positions; can be only executed at Ask price and placed below the current Ask price with reference to Sell positions.
- Thin Market
- Periods of low trading activity and amounts of quotes per time, as compared to normal market conditions (e.g. periods between 21.00 and 00.00 GMT and before Christmas holidays).
- Ticket
- a unique identification number of a position, order or balance operation in the customer’s account.
- Trailing Stop
- a built-in option of the Client Terminal that automatically adjusts a Stop Loss order level by a specified amount of points, if the favorable price motion exceeds this amount; it only works with the Client Terminal connected to the server.
- Transaction
- An operation consisting of two equal counter trades in a specified instrument.
U
- UK OIL
- Short name for Brent Crude Oil.
- UK100
- Short name for the FTSE 100 index.
- US OIL
- short name for WTI Crude Oil.
- Uptick
- a new price quote, at a price higher than the previous quote.
V
- V-Shaped Recovery
- a chart shape showing recovery that involves a sharp rise to a previous peak, after a sharp decline.
- VOLUME
- The number of contracts made during a specified period of time as in an hour, day, week or year. For financial instruments that are traded in lots, the volume is reported to reflect that fact.
- Value date
- the future date on which counterparts to a financial transaction agree to determine the value of a product’s price; for a spot foreign exchange trade this date is normally two business days after a transaction is agreed.
- Volatility
- Measure for fluctuation of price of a financial instrument over time; delegate to an active market that represents trading opportunities.
W
- W-Shaped Recovery
- a chart shape showing a change of sharp decline, rise, decline and ending with another sharp rise; the middle part of the shape can be lower than two price peaks on each side.
- Whipsaw
- Slang for a very high volatility market where price is moving similar to a ‘whipsaw’ at work; the price movement is followed by a sharp and quick reversal movement.
- Working order
- Stop or Limit orders that have been placed but not filled yet.
X
Y
Z