TRADING SKILLS & ESSENTIALS

Definition: Risk-neutral refers to an individual who is indifferent to risk, meaning that they do not experience any changes in utility as a result of changes in risk. This implies that their decision-making process is not influenced by the potential outcomes of an investment or event, as they are not affected by the variability of […]

Risk acceptance is a fundamental concept in probability and decision-making that involves acknowledging the potential for loss or failure while choosing to proceed with a course of action. It involves understanding the risks involved, weighing the potential benefits and costs, and making a conscious decision on whether to take the chance. Key Principles of Risk […]

The current price is the price of an asset or commodity at a particular point in time. It is a dynamic figure that is constantly changing, and is usually quoted in terms of a specific unit of currency. Examples: Factors that affect current price: Examples of current price quotes: It is important to note that: […]

1. Candlestick Patterns:– Identify candlestick patterns like candlestick patterns, hammerheads, and double tops/bottoms to predict trend direction and potential support/resistance levels.- Use candlestick patterns in conjunction with other technical indicators for confirmation. 2. Moving Averages:– Employ moving averages, such as simple and exponential moving averages, to smooth price fluctuations and identify trend direction.- Use moving […]

A beneficial owner is the person who ultimately owns and controls the assets of a company or other legal entity, even if they do not formally own the assets in their own name. In other words, the beneficial owner is the person who benefits from the assets of the company or entity. Here are some […]

Definition: Stochastic is a term used to describe a quantity that varies randomly, or in a manner that can be described by probability. Key Features of Stochastic Variables: Examples of Stochastic Variables: Applications of Stochastic Modeling: Types of Stochastic Variables: Conclusion: Stochastic variables are a fundamental concept in probability and statistics. They describe quantities that […]

An exit point is a point in a program where the program terminates execution. There are different ways to exit a program in different programming languages. Here are some examples: C: creturn 0; Python: pythonexit() Java: javaSystem.exit(0); C++: cppreturn 0; Ruby: rubyexit JavaScript: jsprocess.exit(0); The exit code is a number that indicates the exit status […]

Definition: A speculator is an investor who buys and sells financial assets with the expectation of making a profit by anticipating future price fluctuations. Speculators typically use derivatives contracts, such as futures, options, and swaps, to speculate on a wide range of assets, including stocks, commodities, currencies, and even interest rates. Key Characteristics: Types of […]

Sure, cash and carry is a term used for a retail store that does not offer credit or financing options to customers. Customers must pay for their purchases at the time of purchase with cash or debit/credit card.

Trading psychology refers to the emotional and psychological factors that influence an investor’s trading decisions. It encompasses a wide range of factors, including: 1. Risk Tolerance:– Tolerance for losses and gains- Ability to withstand volatility- Willingness to take on risk 2. Trading Style:– Day trading vs. swing trading vs. position trading- Fundamental vs. technical analysis- […]