A Glossary of All the Terms You Need to Know in Trading (T-Y)
We have finally come to the last part of the glossary! Kudos to those who have read the other parts (A-C, D-F, G-L, M-O, P-S). After understanding the terms here, you will be fluent in trading lingo.
T
Take profit: The price at which you took a profit.
The price which you took a profit could differ from your target price.
Target price (TP): The price which you intend to close the trade at for a profit.
Chart of DLR, The TP is shown by the faint green line at $137
Technical analysis (TA): The examination and prediction of future price movement based on historical price movement.
Technical analysis being applied to APTV
Ticker symbol: The abbreviation assigned to a security for trading.
Eg. The ticker symbol for Apple is AAPL. Starhub’s ticker symbol is CC3.
Trailing stop loss (Trailing SL): A dynamic stop loss which inches towards your target price as prices moves in your favor. It does not move when prices move against you.
Read about the 4 ways you can use a stop loss.
Trendline: A sloped line which prices respect and adhere to.
Trendline (in blue) on the chart of Apple
V
Volatility: The magnitude of price movements.
A stock is not considered to be volatile when its price movement ranges between small to average. A stock is considered to be volatile when its price movement is larger than usual.
A non-volatile period of BoeingA volatile period of Boeing. Notice the larger price range and movement?
Volume: The number of shares transacted in a period.
Y
Yield: The income from an investment in the form of dividends for a stock, and interest paid out by a bond.
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Here are the most important trading terms (from P to S) which will help you towards your trading goals. In case you missed the earlier parts of this glossary, you can find A-C, D-F, G-L, M-O here. P Penny stocks (aka pink sheet stocks): Stocks that are priced at $5 or less. Such stocks tend
You have drawn your trendlines, support and resistance zones. You have scanned for the common chart patterns and none of them are present. You think that there is no opportunity and are about to move on to the next chart. Hold on. Chances are, you have not considered this chart pattern. You are not the
The journey to learning a new topic is always the most difficult at the beginning. We aim to make it a lot easier for you with this glossary. You can find the terms which start with A-C and D-F . G Gap: The price difference between the previous session’s close and the current session’s open. This