Category: Forex Trading

  • Short Definition What Does Short Mean

    The naked short seller may fail to purchase shares within the clearing window, or they may be forced to close their short trade by a margin call before they get ahold of the shares. Not to be confused with hedge funds, hedging involves taking an offsetting position in a security in order to limit the…

  • Pine Script TradingView A Step-by-step Guide

    TradingView Pine Script is a programming language developed by TradingView for creating custom trading indicators and strategies on the TradingView platform. Pine Script is lightweight and easy-to-understand language focusing on interacting with TradingView’s charting platform. Pine Script runs on TradingView’s servers, differentiating it from client-side programming languages. The built-in data from Pine Script can be very…

  • Mastering Fibonacci Extensions: A Trader’s Guide to Precision Analysis and Targets

    Take note that after the marked blue base line, the price starts a sharp increase which reaches the 261.8% extension area. Notice that the price creates a couple of tops there (black arrows), which shows that the price is clearly finding resistance at this level. After the second interaction with the 261.8% level, the price…

  • How to Use the Pivot Point Trading Strategy for Intraday Trading

    Another interesting point for traders to remember is that the equations for the Camarilla system use formula variables that are more much more specific and systematic in nature. Relying only on pivots to make trading decisions can lead to confusion. Rapid price changes can create multiple pivots without a clear trend. Pivots should be used…

  • What is Letter of Indemnity LOI? Definition and meaning

    This article contains general legal information but does not constitute professional legal advice for your particular situation. The Law Dictionary is not a law firm, and this page does not create an attorney-client or legal adviser relationship. If you have specific questions, please consult a qualified attorney licensed in your jurisdiction. The significance of a…

  • Economics Defined with Types, Indicators, and Systems

    This report is an important economic indicator and its release can increase volatility in equity, fixed income, and forex markets. Greater-than-expected price increases are considered a sign of inflation, which will likely cause the underlying currency to depreciate. The gross domestic product (GDP) is considered the broadest measure of a country’s economic performance. Mercantilism held…

  • Cost of Capital: What It Is & How to Calculate It

    The capital asset pricing model (CAPM) is the standard method used to calculate the cost of equity. Most management teams and investors seek investments that will help their value grow. Using the cost of capital to determine the cost of that potential investment is a great starting point. An appropriate discount rate can only be…