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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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All A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

P

Portfolio manager

An investment professional responsible for managing a portfolio on behalf of clients.

Position

The direction of a trade made: long means betting on a price increase, while short means betting on a price decrease.

Pre-market trading

The 1.5 hours prior to market open, when investors and traders rigorously observe market movements and sentiment.

Price action

The movement of a product’s price over time, often analysed using technical analysis.

Price discovery

The process of determining the spot price of a product.

Price-to-earnings (P/E) ratio

The measurement of a company’s financial health and future growth potential by dividing its stock price by earnings per share (EPS).

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