Research · Glossary
Glossary
The terms used on this site and in the terminal, each defined in a single sentence and written for reference rather than instruction.
A
The price at which a position can be bought; the higher of the two prices quoted for an instrument.
A rise in the value of one currency against another.
The purchase and sale of the same instrument in two markets to capture a difference between their quoted prices.
Adding to a losing position at a worse price, which increases the size of the position while the original entry remains in loss.
B
The settled funds in an account, excluding the profit or loss on positions that remain open.
The first currency in a quoted pair, as EUR in EUR/USD.
A sustained period of declining prices.
The price at which a position can be sold; the lower of the two prices quoted for an instrument.
A sustained period of rising prices.
C
Contract for difference: an agreement between the client and QuantivoFx on the change in the price of an asset, settled in cash, without ownership or delivery of the asset.
A charge on each trade on a Raw account; a Standard account carries none, because the trading cost sits in the quoted price.
The quantity of the underlying asset represented by one lot.
The risk that the other party to an agreement does not meet its obligations under it.
D
Opening and closing positions within a single trading day rather than holding them overnight.
An account credited with simulated funds that carries no financial exposure and cannot be funded or withdrawn.
The decline from an equity peak to the lowest equity recorded after it.
E
Balance adjusted by the unrealised profit or loss on open positions.
A marketplace on which instruments are traded under published rules, as distinct from a CFD, which is an agreement with QuantivoFx.
A currency pair that excludes the US dollar and includes the currency of a smaller or emerging market.
F
The market in which currencies are traded against one another and quoted in pairs, such as EUR/USD.
Equity less the margin committed to open positions, available for new positions.
Analysis of a market from economic data, interest rates and company results rather than from price history.
G
A discontinuity between consecutive quoted prices with no trading in the interval, typically at a market reopening or after unscheduled news.
A synonym for leverage: the ratio of the position size a margin commitment supports to that commitment.
H
A position taken to offset part of the risk carried by another position.
The elapsed time between the opening and the closing of a position.
I
A CFD whose price tracks a basket of shares rather than the shares of a single company.
A price published for reference only, as distinct from the price available in the terminal at which an order is executed.
The difference between the interest rates of two currencies, which is one input into the relative value of the pair.
L
The ratio of the position size a margin commitment supports to that commitment, applied to the effect of a price move in both directions.
The maximum leverage level permitted for an account type, which the order ticket enforces.
The volume of trading available in an instrument and the extent to which a position can be opened or closed without moving the quoted price.
A position that gains when the price of the instrument rises.
A standardised contract size for a currency pair, quoted as a standard, mini or micro lot.
M
The portion of account equity committed to hold a position open, released when the position closes, and not a fee.
The total margin currently committed to open positions, reported in the risk summary.
An instruction to open or close a position at the price quoted at the time of submission.
The recalculation of open position values at current prices, which keeps equity and profit and loss current.
N
A scheduled release, such as an interest rate decision or an employment report, that frequently produces a sharp price move.
The full value of a position before margin is applied: contract size multiplied by price.
O
An order that is pending rather than held as an open position.
A trade that has been opened and not yet closed, whose profit or loss changes with the quoted price until it is closed.
The panel in which direction, margin commitment, leverage level and optional stop loss and take profit levels are set before submission.
P
The smallest standard price increment for a currency pair, conventionally the fourth decimal place.
The value of a one-pip move for the size held, expressed in the account reporting currency.
The price increment used for instruments such as indices and commodities in place of the pip.
Deriving trade size from the acceptable loss and the distance between entry and the stop level.
Q
The second currency in a quoted pair, as USD in EUR/USD, in which the base currency is priced.
R
An account type that quotes a narrower price and charges a separate commission on each trade.
Profit or loss on positions that have been closed, already applied to the account balance.
The currency in which balances and history are reported: USD, EUR or GBP; changing it changes the denomination label and applies no conversion.
The relationship between the amount risked on a position and the amount targeted by it, stated with the risk first.
S
A style built on a high number of short-duration trades taking small price moves.
A position that gains when the price of the instrument falls.
The difference between the price quoted when an order is submitted and the price at which it is executed.
The difference between the quoted buy and sell prices; on the Standard account the trading cost is incorporated into it.
The default account type, carrying no separate commission because the trading cost is incorporated into the quoted price.
An instruction to close a position at a predetermined adverse price; a fast move can trade through the level before the close is executed.
A style that holds positions across days or weeks to capture a larger move, accepting adverse movement in the interim.
T
An instruction to close a position at a predetermined favourable price.
Analysis of a market from price history and chart patterns rather than from news or economic data.
The smallest single change in a quoted price.
The interval that each point or candle on a chart represents.
U
Profit or loss on open positions, which changes with the quoted price and is not settled until the position is closed.
V
The identity check on the account holder, which the platform can require before a particular action.
The magnitude and speed of price movement in an instrument.
The quantity of an instrument traded over a given period.
W
The area of the platform used to deposit, withdraw and review fund history, balances, positions and trade history.
The instrument list filtered by category, with search and filters for forex, commodities, crypto, indices and shares.
Transfer of available funds from the account to the client’s own payment method.
Account access
Terminal access
A demo account starts with simulated funds and carries no financial exposure. That balance cannot be funded or withdrawn. These terms appear on screen inside the terminal.