Short-term trading strategy holding positions for more than a day.

Simultaneous buying and selling of the same currency amount at a forward exchange rate.

A trading strategy where an investor borrows and sells an asset, such as a stock, with the expectation that its price will decline. The investor aims to buy back the asset at a lower price in the future to repay the borrowed shares and profit from the price difference. Short selling involves selling an asset one does not own, and it carries additional risks, such as unlimited potential losses if the price rises instead of falling.

Position where the base currency is sold, benefiting from price declines.

A regulatory agency in the United States responsible for enforcing securities laws and protecting investors. The SEC oversees the securities industry, promotes fair and transparent markets, and provides investors with accurate and reliable information. It regulates various entities, including stock exchanges, brokers, investment advisers, and public companies, ensuring compliance with disclosure requirements and preventing fraudulent practices.

Short-term trading strategy aiming for small profits.

An order placed by a trader to automatically sell a security if its price falls to a specified level. Stop-loss orders are used to limit potential losses and manage risk. When the market price reaches or falls below the stop-loss price, the order is triggered, and the security is sold at the prevailing market price. It allows traders to define their maximum acceptable loss on a position and helps protect against adverse price movements.

Price at which an option is opened in the market.