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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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Market risk

The risk of loss arising from adverse movements in market prices.

Market sentiment

The overall perception of market participants towards an asset or market as a whole, which directly impacts price fluctuations.

Micro lot

A lot size in forex trading that is equal to 1,000 units of the base currency.

Mid-price

The price halfway between the bid and ask prices of a product.

Mini lot

A lot size in forex trading that is equal to 10,000 units of the base currency.

Momentum trading

A trading strategy that involves taking positions based on the latest market trends i.e. buying when there’s an upward trend or selling when there’s a downward trend.

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