Glossary Of Terms

On this page, you will find short descriptions and meaning on some of the most commonly used terms when trading in Forex. We hope this will help give you a better understanding and you can always refer back to this glossary for terminology that you don't understand.

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

M

Margin - The required amount that a trader must deposit to his/her account as a collateral for a position.

Margin Call - When a broker or dealer demands from you additional funds or margin money to guarantee performance on a position that has moved against you.

Market Maker - A dealer or firm who regularly quotes both bid and ask prices.

Market Order - An order to buy or sell a financial instrument base on the current market price.

Market Rate - The current quote of a currency pair.

Market Risk - Affects that could happen when there are changes in the market.

Maturity - The date when the trade or deal is due to settle.

Momentum - The force of a currency pair moving in the same direction.