Forex Glossary

Yard

A yard is Forex slang for a billion (1,000,000,000).

Forex Trailing Stop

The practice of moving a stop-loss in the direction of the markets movement. The trailing stop is primarily used to protect the profits. See also floating stop.

Stop-loss Order

The stop-loss order is an order type whereby an open position is automatically liquidated at a specific price. The stop-loss order is often used to minimize exposure to losses if the market moves against an investor's position.

Forex Floating Stop

The Forex floating stop is an automated trailing stop.

Forex Transaction Date

The Forex transaction date is the date on which a trade occurs.

Swissy

Swissy is the Forex market slang for the Swiss Franc (CHF).

Forex Currency Swap

A Forex currency swap is the simultaneous sale and purchase of the same amount of a given currency at a forward exchange rate.

Forex King Kong Syndrome

The Forex King Kong Syndrome is the emotional high that overtakes a Forex trader when he or she does exceptionally well over a period of time. This is usually followed by a large losing trade and a reality check.

Forex Ask Price

The ask price is the price at which the Forex market is prepared to sell a specific currency in a foreign exchange contract or cross-currency contract. At this price, the trader can buy the base currency. The Forex ask price is shown on the right side of the quotation. For ...

Forex Arbitrage

Forex arbitrage is the purchase or sale of an instrument and simultaneous taking of an equal and opposite position in a related Forex market, in order to take advantage of small price differentials between Forex markets.