A stock market index that serves as a benchmark for the performance of the U.S. stock market and a key indicator of the overall health of the economy. It includes a diverse selection of 500 large-cap companies in the United States.
A short-term trading strategy that involves making quick and frequent trades in financial markets to capitalise on small price movements. Traders who employ scalp trading, known as scalpers, aim to profit from small price fluctuations within a short time frame, often holding positions for seconds to minutes.
An order to sell an asset at a price lower than the current market price. It is executed when the market price reaches or falls below the specified price.
A trading strategy used by investors and traders to profit from the decline in the price of an asset.
The difference between the expected price of a trade and the actual price at which the trade is executed. It can occur in both buy and sell orders and is a common phenomenon, especially in fast-moving or volatile markets.
The practice of making financial decisions in the hope of profiting from short-term price movements in assets, without necessarily having a fundamental interest or long-term investment objective in the asset.
The difference between the bid price and the ask price of a currency pair. The spread represents the cost of executing a trade and is typically measured in pips (percentage in points), which is the smallest price movement of a currency pair.
Investors speculate on the price movements of various financial instruments without owning the underlying assets.
The position will automatically close once it hits the predetermined price.
A key concept in technical analysis used by traders to identify potential price levels where a financial asset may experience buying (support) or selling (resistance) pressure. These levels are based on historical price data and are significant because they represent areas where the supply and demand for an asset are likely to interact, potentially leading to price reversals or continuation patterns.