Pip
A pip measures the amount of change in the exchange rate for a currency pair, and is calculated using last decimal point. Since most major currency pairs are priced to 4 decimal places, the smallest change is that of the last decimal point which is equivalent to 1/100 of 1%, or one basis point.orex currency […]
Offered Market
This market determines foreign exchange rates for every currency.The foreign exchange market works through financial institutions and operates on several levels. Behind the scenes, banks turn to a smaller number of financial firms known as “”dealers””, who are involved in large quantities of foreign exchange trading.
Operation Twist
Operation Twist pertains to the Federal Reserve’s action to sell short-term US Treasury bonds and invest the proceeds into long-term US Treasury bonds.In September 2011, the Federal Reserve implemented Operation Twist in order to lower long-term interest rates. Lower interest rates would hopefully increase household and business borrowing and spending, therefore boosting the economy.
Order Book
An order book is the list of orders (manual or electronic) that a trading venue (in particular stock exchanges) uses to record the interest of buyers and sellers in a particular financial instrument. A matching engine uses the book to determine which orders can be fully or partially executed.
Organization of the Petroleum Exporting
The Organization of the Petroleum Exporting Countries, also known as “OPEC,” is an intergovernmental organization of 13 oil-exporting countries that coordinates the petroleum policies of its members.It will allow the trader to stablization to the oil market that secure the regular efficient supply of the petroleum to the consumer, Income of the producers and capital […]
Overnight Position
In the currency markets, overnight positions represent all open long and short positions that a forex trader possesses as of 5:00 p.m. EST, which is the end of the forex trading day. Overnight trading refers to trades that are placed after an exchange’s close and before its open. The maximum amount of a position that […]
Order
An order is an offer sent using your broker’s trading platform to open or close a transaction if the instructions specified by you are satisfied.The order will only be filled if the market trades at that price or better. A limit-buy order is an instruction to buy the currency pair at the market price. The […]
Open Order
The basic forex order types (market, limit entry, stop entry, stop loss, and trailing stop) are usually all that most traders ever need. To open a position, the following pending orders may be used: “Buy stop” to open a long position at the price higher than the current price.An order to buy or sell that […]
Open Position
Open position refers to a situation where the trade is still not closed but active. This position also depicts the open positions are made by the trader and unless and until the trade is open, the trader can incur profit or loss. Open trades remain active for a longer period of time.An open position means […]
Oscillator
The Oscillator is the one of the Techical Indicator that gravites between the two levels according to the price chart. The Oscialltor measure are designed to show the main asset that is potentially overbought and oversold. The oscillator can help the trader to measure the distance between the reversal and fluctuations.Momentum indicators, which are a […]
Over-The-Counter (OTC)
Over the Counter is the security that are normally traded to the trader network rarher than the centralized to the exchange to the New York Stock Exchange. These securities are referred to as “over-the-counter” as they are traded directly between two parties rather than being listed on a central exchange. The each trade is an […]
Nonfarm Productivity
Nonfarm Productivity measures the annualised change in labour efficiency when producing goods and services, excluding the farming industry. Higher productivity has the ability to boost workers wages without generating inflation.The measure of output per hour worked. If more output is produced, prices may be lower of the product. The higher the productivity, the better the […]
New Home Sales
The New Home Sales report offers data on new homes sold, expressed in thousands of homes and broken down by geographic region of the country. The report also tracks the percentage change of homes sold from month to month, as well as details about sales prices, the stage of construction at which new homes are […]
New Zealand Dollars
The New Zealand dollar (NZD) is the currency of New Zealand. … The New Zealand Dollar is often commonly referred to as a kiwi because of the national bird found stamped on the one-dollar coin.NZD/USD is the abbreviation for the New Zealand dollar and U.S. dollar currency pair. Access the most up to date statistics, […]
National Futures Association (NFA)
The National Futures Association (NFA) is the industrywide, self-regulatory organization for the U.S. derivatives industry, including on-exchange traded futures, retail off-exchange foreign currency (forex), and OTC derivatives (swaps).It aims to maintain investor confidence by developing rules, programs, and services that safeguard market integrity. It also helps resolve consumer complaints.
Non-Convertible Currency
Non- Convertible currency is also know as the blocked currency that is only legal for the country that are not traded to the international to the forex exchange because of the government restrictions. If the non-convertible currency decreases or increases sharply in value, its potential adverse effects could be devastating for a country.
Net Position
A Net Position is the difference in a point in time of the total amount of long currency positions and short currency positions that have yet to be offset by opposite transactions. It can also refer to the dollar difference for the combined market values of all long and short positions.
Non-Farm Payrolls (NFP)
NFP Non-Farm Payrolls is representing the report that shows how many people are employed in the manufacturing and construction and goods to the companies. It is important for the economic indicators that related to the employement in the United States.NFP stands for Non-Farm Payrolls, which is actually part of the Employment Situation report, released by […]