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Glossary

Not sure what a trading term means? Search below to find the answer.

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Day Trading

An approach to trading which involves entering and closing trades on the same day or trading session.

Default

Failure of an issuer to make timely payments of both interest and principal when due.

Deficit

Describes an excess of liabilities over assets, of losses over profits, or of expenditure over income.

Deflation

A decrease in the general price level of goods and services where the inflation rate falls below zero percent, resulting in an increase in the real value of money.

Depreciation

Decline in the value of an asset, currency, or security.

Divergence

Describes the phenomenon whereby a technical indicator and corresponding price chart don't yield the same peaks/bottoms. It usually indicates trend 'exhaustion'.

 

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