Tweezers Provide Precision for Trend Traders

Japanese candles are a most useful tool for predicting price movements. They are one of the most widely used tools by traders today. What are Japanese candles? Anyone, even a trading novice, will have already heard of Japanese candlesticks. So-called candlestick trading is a real system of analyzing market charts by means of a particular … Read more

What is Credit Card Cloning?

Credit card cloning also known as skimming is illegal and unauthorized copying of a credit card. Fraudsters copy information from your credit card physically and use an electronic device and the data from the stolen card to create a new card that works just like your card. Sometimes, fraudsters use fake or old credit cards … Read more

What Is Buy to Cover?

Buy to cover is an order placed for buying a security that will close a short position. A short position is when an investor borrows a security from a broker such as shares to sell them at a high price and buy them back at a low price to make a profit. Because the securities … Read more

Time in Force

Time in force refers to the amount of time an order will stay active before it is executed by the broker or expires. Using time in force allows active traders to be specific about timing when placing orders for buying and selling securities. Time in force orders allows traders to execute trades only when the … Read more

What is Close Position in Trading?

A close position in trading means that a previous position has been changed and trading has come to an end. A close position is an opposite of an open position in which the investor closes the transaction after making a profit or incurring a loss. There are two situations in which the investor or trader … Read more

Options Trading (Call & Put)

Should you want to start trading options, the first thing you should know is what the two types of contracts mentioned above are: call and put. It is important to remember that, as with other derivative products, there are always two parties in every option transaction: the buyer and the seller of the contract, called … Read more

Residual Standard Deviation

Residual standard deviation is a statistical term used to describe the difference in the standard deviations of observed values from expected values. Residual standard deviation is also called the standard deviation of points around an adjusted line or standard error of estimate. How to calculate the residual standard deviation To calculate the residual standard deviation, … Read more

Long-term incentive plan (LTIP)

Long-term Incentive Plans (LTIPs) are programs that offer to employees the opportunity to receive a bonus on top of their base salary. An LTIP provides incentives and bonuses over predetermined long-term periods, usually between three and five years An executive’s investment of time, energy and experience in a company is instrumental to business success. An … Read more

Breakeven Price

To understand price trends in different financial markets, it is necessary to quantify the quantity of demand (i.e., the strength of buyers, also referred to as bullish pressure) and compare it with the quantity of supply (i.e., the strength of sellers, also referred to as bearish pressure). The price formed at a certain instant in … Read more

Buy Low, Sell High Strategy

The buy low sell high method is one of the most widely used strategies in trading whose practice consists of buying stocks or other assets when prices are low and then selling them when prices rise, some technical in nature and others related to investor psychology and sentiment.. Although the method is quite intuitive, in … Read more