Finance dictionary

5 terms

Trading

Orders, risk control and short-term market mechanics.

Beginner2

TradingBeginner

Liquidity

How quickly you can convert something into cash without moving its price.

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TradingBeginner

Stop-Loss

A pre-set order that exits a position once the price hits your maximum acceptable loss.

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Intermediate3

TradingIntermediate

Bid-Ask Spread

The gap between the highest price buyers offer and the lowest price sellers accept.

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TradingIntermediate

Drawdown

The fall from a portfolio's peak value to its lowest point before a new peak.

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TradingIntermediate

Volatility

How much and how fast a price swings around its average.

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Other categories

Investing Stock Market Technical Analysis Fundamental Analysis Mutual Funds IPO Bonds Personal Finance Tax Economics Financial Statements Investment Banking Private Equity & VC

Educational content only. Examples use round illustrative numbers and are not investment, tax or legal advice.