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Trading Glossary

Glossary trade refers to a type of trading strategy where traders use a predefined set of terms, definitions, or concepts to make informed decisions. It often involves industry-specific jargon, financial metrics, and analytical tools to navigate markets effectively.

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R

Rally

A continuous upward movement in asset price.

Range

The difference between the highest and lowest price of a product over a given time period.

Range trading

A trading strategy wherein a trader purchases the asset when it reaches the lower limit of its trading range and sells it when it reaches the upper limit.

Range-bound market

When an asset’s price remains confined within a specific range, lacking noticeable trends or momentum.

Rate hike

An increase in interest rates by a central bank, which can cause the currency of the country to appreciate.

Real effective exchange rate (REER)

A weighted average of a currency’s exchange rate relative to other currencies, adjusted for inflation.

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