Полный глоссарий Форекс

Updated: Apr 15

Account History

Listing of all transactions (trading and non-trading) completed for a given account.

Accounting Currency

Currency in which account deposit/withdrawal operations are denominated. Not to be confused with the currencies ultimately bought or sold with account funds.

Appreciation

Common term used to describe a currency increasing in value, as a result of market forces as opposed to official adjustment.

Asset Allocation

Investment practice that divides funds among different types of securities/vehicles/markets in order to achieve a return that is calibrated to an investor’s risk profile.

Ask (Offer) Price

The price at which specific currency or contract can be purchased.

Aussie

Slang term for the Australian dollar.

Balance sheet

Financial statement showing a company’s assets, liabilities, and shareholders’ equity on a given date.

Balance of Payments

A systematic record of the economic transactions during a given period for a country.

Balance of Trade

Calculated by subtracting imports from exports.

Bank of England

Central Bank for the UK, whose actions directly weigh on the value of the Pound Sterling.

Bar Chart

A chart type consisting of four points: high price and low price (represented by a vertical bar), opening price (represented by a small horizontal line to the left of the bar), and closing price (represented by small horizontal line to the right of the bar).

Base Currency

Currency in which the operating results of the bank or institution is reported.

Basis

Difference between the cash price and futures price.

Basis Convergence

The process whereby the basis tends towards zero as the contract expiration date nears.

Basis Point

One per cent of one per cent. For example, 25 basis points is equal to .25%.

Basis Price

The price expressed in terms of yield-to-maturity or rate of return, rather than the actual unit price.

Bear Market

While precise standards vary, refers generally to prolonged period of falling asset prices.

Bear(ish)

Describes an investor who believes that asset prices will fall.

Bid Price

The price at which specific currency or contract can be sold. In practice, this can be understood as the number on the left side of the quote, which is usually the lower price.

Big Figure

Refers to the first three digits of an exchange rate, such as the 2.30 in 2.3025. The big figure is often omitted in dealer quotes, such that a quote of “25/30” on dollar mark would indicate a price of 2.3025/2.3030.

Bollinger Bands

Technical analysis tool used to measure the highness or lowness of the price relative to previous trades, consisting of three bands: middle band (simple moving average), upper band (given number of standard deviations above the middle band), and lower band (given number of standard deviations below the middle band)

Break Even Point

The price at which the option buyer recovers the necessary premium paid, resulting in neither loss nor gain. With a call option, the break even point is simply the premium plus the strike price.

Break Out

Describes a technical scenario in which a currency/security is seen to have exited a pre-existing pattern, such as a range or other trend.

Broker

An agent who executes orders to buy and sell currencies either for a commission or based on a bid/ask spread. In the foreign exchange market, brokers essentially serve as intermediaries between banks. This commission is known as the brokerage fee.

Bull Market

While precise standards vary, refers generally to prolonged period of rising asset prices.

Bull(ish)

Describes an an investor who believes that asset prices will rise.

Bull Spread

An options strategy that seeks to capitalize on a (moderate) rise in exchange rates, executed typically by buying a call option with a low strike price and selling one with a high strike price. Also known as Buying the Spread.

Buyer/Taker

Refers to the buyer/holder of an option, who has the right but not the obligation, to purchase the underlying security.

Candlestick Chart

Type of chart that uses shaded bars to indicate trading range (i.e. high and low price) as well as the opening and closing prices for consecutive time periods.

Cap/Ceiling

Maximum rate of interest that can be charged under a loan.

Capacity Utilization

Indicator of inflation released by the Federal Reserve Bank, which measures the percentage of available resources being utilized by factories, mines and utilities.

Capital

Financial assets, or the financial value of assets such as cash.

Cash on Deposit

Total funds deposited in a trading account.

Cash Market

Spot market, as opposed to the futures market.

Central Bank

A governmental or quasi-governmental organization that conducts monetary policy and manages the exchange rate for a given economy and its currency. It may also be charged with printing money.

Channel

Uptrend, downtrend, or sideways trend whose boundaries can be marked clearly by two or more straight lines. A break above/below the channel signals a possible change of trend.

Chartist

One who takes a technical approach to trading, relying on charts and graphs (and their associated indicators) to discern trends and predict future price movements.

Commission

Transaction fee charged by a broker.

Consumer Confidence

The degree of optimism that consumers feel about the overall state of the economy and their respective personal financial situations.

Consumer Price Index (CPI)

One of the most closely watched national economic statistics, CPI measures a price change for a constant market basket of goods and services from one period to the next within the same area.

Continuation

Extension of the existing trend.

Contract (Lot)

Trading unit. A standard lot in the Forex market is $100,000. A mini lot is $10,000.

Conversion Rate

Another term for exchange rate.

Co-Owner

Secondary account holder.

Copey

Slang term for the Danish Krone.

Credit Risk

Risk that a borrower will not repay a loan on time. Often referred to as “Default Risk.”

Currency Pair

Two currencies used to create an exchange rate.

Currency Risk

Possibility that currency depreciation will negatively affect the value of one’s assets, especially those denominated in foreign currency.

Daily Charts

Charts that encapsulate daily price movements for a given currency pair.

Daily Cut-Off

The designated time of day chosen by a dealer to demarcate the end of one trading day and the beginning of the next, necessary because Forex markets operate 24 hours per day.

Day Order

Buy or sell order that automatically expires at the end of the current trading day.

Day Trading

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

Deficit

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

Демо-счет

Free forex practice account that allow beginners (or veterans) to measure the profits from hypothetical trades.

Depreciation

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

Depth of Market

The volume of buy and sell orders waiting to be transacted for a particular currency pair at a particular point in time.

Детали

The information necessary to execute a Forex transaction, including currency pair, rate, time/date, and size.

Descending Triangles

Trading pattern consisting of two or more comparable lows forming a horizontal line at the bottom. When support on the lower rung of the triangle is broken, it is believed to signal bearishness.

Deutschmark

Former currency of Germany, phased out (and replaced by the Euro) when Germany joined the European Union.

Devaluation

A deliberate depreciation of a currency (relative to one or more other currencies), usually affected by the Central Bank.

Discount Rate

Interest rate that an eligible depository institution is charged to borrow short-term funds directly from the Federal Reserve Bank.

Discount Spread

Refers to the situation whereby the bid price of a forward spread rate is less than the ask price.

Discretionary Account

Type of account whereby a customer allows an institution to make trading decisions on his or her behalf.

Disinflation

Slow-down in the inflation rate (i.e. when the inflation decreases, but still remains positive).

Divergence

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

Double Barrier Option

A type of option incorporating two knock out or knock in levels, one either side of spot, used by participants that have strong views on both a support and a resistance level.

Double Top and Bottom

Trading pattern consisting of upper and lower limits that have been touched twice, but never breached. It is usually interpreted as a sign of uncertainty. However, when the currency breaks out of the range, the movement is expected to be significant.

Dow Theory

One of the ideas underpinning the field of technical analysis, positing that all major trends can be sub-divided into three phases: entrance, acceleration, and consolidation.

Drawdown

A drop in the value of an account, calculated by subtracting the low from the peak.

Durable Goods Orders

Monthly government report which measures consumer spending on long-term purchases, products that are expected to last more than three years. It is designed to gauge the health of the manufacturing industry.

Easing

Refers to the use of monetary policy to expand the money supply, either by lowering interest rates or through open market operations.

Экономический календарь

Type of calendar that is intended to inform financiers and traders about the scheduled major economic indicators, government reports and speeches by influential people.

Economic Indicator

Statistic that seeks to proxy current economic growth and stability. Economic indicators fall into three categories: leading, lagging and coincident.

Elliot Wave Theory

Principle that collective investor psychology (or crowd psychology) moves from optimism to pessimism and back again. These swings create patterns, as evidenced in the price movements of a market at every degree of trend, over duration that range from minutes to decades.

Envelopes

While Bollinger Bands place boundary lines based on standard deviations, envelopes place lines at fixed percentage points above and below a moving average line, designating entry and exit points for trades.

Euro

Official currency of 16 of the 27 member states of the European Union. The states, known collectively as the Eurozone,

Eurobond

Bond in US dollars or other currency that is sold to investors who don’t reside in the country whose currency is used.

Eurocurrency

Currency that is deposited in a financial institution located outside the region where the currency is primarily used.

Exotics

Currencies that are not actively traded; used in contradistinction to “major currencies.”

Exponential Moving Average (EMA)

Compared to a simple moving average, which distributes weight equally across a data series, exponential moving averages afford greater weight to recent prices/data.

Exposure

Net of all long and short positions for a particular currency (pair).

Face Value

Value of a bond to be paid out at maturity. Also known as Par Value.

Factory Orders

Economic indicator that measures new orders for both durable and non-durable goods.

Fast Market

Strong pressure in the market, in which prices are moving too quickly to be disseminated.

Federal Open Market Committee (FOMC)

Committee made up of Federal Reserve members, which meets eight times a year to discuss/ implement monetary policy.

Federal Reserve Bank (Fed)

The central bank of the United States, responsible for using monetary policy to promote economic growth and price stability.

Fiat Currency

Money declared by a government to be legal tender, and not backed by any other commodity, such as gold.

Fibonacci Numbers

Sequence of numbers in which each successive number is the sum of the two previous numbers. Fibonacci numbers are used in financial/currency markets to develop trading algorithms, applications and strategies. The four most common forms are the Fibonacci fan, Fibonacci Arc, Fibonacci Retracement and the Fibonacci Time Extension.

Fill Price

Price at which a buy or sell order is executed.

Fiscal Policy

Refers to tax policy, government spending, and other government initiatives directed at optimizing economic performance.

Fixed Exchange Rate

Exchange rate regime in which a currency is pegged by the Central Bank so that it cannot fluctuate against other currencies. Currencies can be pegged to other currencies or commodities, such as gold.

Flag and Pennant

Trading pattern characterized by an upward movement with a large slope followed by a period of consolidation. It is considered a bullish pattern overall, as the pattern is expected to continue rising.

Flat/Square

A situation in which a position is closed, or two positions exist that cancel each other out.

Floating Interest Rate

An interest rate that adjusts in accordance with market forces. Opposite of a fixed interest rate.

Foreign Exchange (Forex)

The buying and selling of currencies.

Foreign Currency Effect

Potential for changes in exchange rates to affect returns on overseas investments.

Fundamental Analysis

The analysis of economic indicators and political and current events that could affect the future direction of financial markets. Opposite of Technical Analysis.

Fundamental Trader

A currency trader that relies on fundamental analysis.

Golden Cross

Refers to a technical analysis pattern in which two moving averages intersect, believed to indicate that the reference currency will move in the same direction.

Good-till-Cancelled Order (GTC)

Type of Order to buy or sell a security/currency at a fixed price that doesn’t expire unless the order is executed or canceled.

Grid Trading

Series of positions and open orders undertaken with a predetermined spread.

Gross

An amount calculated before deduction of tax or commissions.

Gross Domestic Product (GDP)

Basic measure of an economy’s economic performance, equal to the market value of all final goods and services made within the borders of a nation in one year.

Gross National Product

Value of all goods and services produced in a country in one year, plus income earned by its citizens abroad, minus income earned by foreigners in the country.

Hard Currency

Any “major” currency that investors have confidence in.

Head and Shoulders

Refers to a technical analysis pattern resembling two peaks (the shoulders) with a higher peak between the two shoulders (the head). The bottom boundary that both shoulders reach, is regarded as a key point traders can use to enter/exit positions.

Hedge/Hedging

Trading strategy implemented with the goal of reducing risk from adverse price movements that surrounds one’s primary position. Typically involves taking an offsetting position in another security/currency, and/or using derivatives to limit downside.

Hedge Fund

A private investment fund, usually open to a limited number of investors. Subject to fewer restrictions and regulations, hedge funds can use aggressive, often speculative and leveraged investment strategies in pursuit of higher returns.

High/Low

Refers to the day’s high and low prices, respectively.

Hyperinflation

Inflation that is very high and difficult to control, whereby prices increase rapidly as a currency loses its value.

Industrial Production

Economic indicator that measures the total value of output produced by manufacturers, mines and utilities.

Inflation

Refers to a general rise in the price level of goods and services, measured by a price index, which leads to a decrease in the purchasing power of money.

Interbank Rates

Foreign Exchange rates (or interest rates) quoted by large multinational banking institutions.

Interest (Rate)

Cost of using/borrowing money, expressed as a rate per period of time.

International Monetary Fund (IMF)

International organization that oversees the global financial system by following the macroeconomic policies of its member countries, in particular those with an impact on exchange rates and the balance of payments.

International Monetary Market (IMM)

Arm of the Chicago Mercantile Exchange that lists a number of currency and financial futures.

Intrinsic Value

Calculated difference between an option’s exercise price and the current market price of the underlying security. May be zero.

J-Curve

Refers to the trend of a country’s trade balance following a devaluation or depreciation. A higher exchange rate initially means imports are more expensive, making the current account worse (a bigger deficit or smaller surplus).

Joint Account

Bank or investment account owned by two or more people.

Kiwi

Slang term for the New Zealand Dollar.

Lagging Indicator

Any economic indicator that reacts slowly to economic changes, and therefore has little predictive value.

Leverage (Margin)

The ability to borrow money to fund trading/investing activity. The amount that can be borrowed varies between brokers, and is quoted as a multiple of maximum position size to deposited funds.

Liability

Generally, a claim on a company’s assets. In Forex, the obligation to deliver to a counter party an amount of currency at a specified future date, in connection to a forward or spot transaction.

Line Chart

Most basic type of chart, which plots a series of price levels over time and connects them with lines.

Liquidity

Refers to the ability of an asset/currency to be easily converted through an act of buying or selling without causing a significant movement in the price and with minimum loss of value.

Long

When transacting in a currency pair, the long currency is the one listed first. The goal of being long is to profit from currency appreciation

Loonie

Slang term for a Canadian Dollar.

Lot

Standardized quantity in forex, composed of 100,000 units of a particular currency pair.

Macro-based

An investment strategy driven by macroeconomic considerations.

Maintenance (Margin)

Minimum margin ratio above which margin account balances must remain.

Manual Trading

Process of inputting trades manually without an API.

Manufacturing Production

Economic indicator that measures the total output of the manufacturing component of industrial production.

Margin

Minimum deposit required to maintain an open position.

Market Rate

Most current quote for a currency pair.

Market Risk

Describes the risk that demand and supply pressures can cause the value of an investment to fluctuate.

Maximum Leverage

Largest position that a given margin deposit would cover.

MetaTrader

Popular online trading platform designed for financial institutions dealing with Forex and derivatives markets.

Mini Account

Type of trading account that allows traders to trade partial (i.e smaller) lot sizes.

Mobile Trading

Use of mobile devices to execute Forex transactions,

Monetary Easing

Refers to a central bank moving to speed up the velocity of money and increase the money supply, usually by lowering interest rates or buying securities on the open market.

Money Manager

Individual or organization responsible for the entire financial portfolio of another individual or entity, receiving management and/or performance fees as compensation.

Monetary Policy

Refers to various tools available to a central bank, that can be employed to influence the money supply, and ultimately to moderate economic growth and price inflation.

Moving Average (MA)

Method commonly used with time series data to smooth out short-term fluctuations and highlight longer-term trends or cycles.

Moving Average Convergence / Divergence (MACD)

Technical analysis indicator that shows the difference between a fast and slow exponential moving average of closing prices.

Negative or Bearish Divergence

Occurs when a new high in price takes place without a corresponding new high in a related price, average, index or other technical indicator.

Net Asset Value (NAV)

In a Forex trading account, equal to the balance of deposits, realized and unrealized profit/loss, and interest, minus withdrawals.

New Home Sales

Economic indicator that measures the annualized number of new residential buildings that were sold in the previous month.

News Trading

An approach to trading that seeks to anticipate and profit from (the markets’ reaction to) news announcements.

Nickel

US term for five basis points.

NIKKEI

The index of the 225 leading stocks traded on the Tokyo Stock Exchange.

Noise

Refers to market activity that does not correspond to actual perceived market sentiment, perhaps creating a contradictory picture.

Non-farm Payrolls

Economic indicator that measures the change in the number of employed people during the last month of all non-farming businesses.

Odd Lot

A non-standard Forex transaction size. Also known as Partial Lot.

Old Lady

Slang term for the Bank of England.

Offer

The price (or rate) at which one is willing to sell.

Open Order

A valid order that has neither been executed nor canceled, probably because the price/rate has not reached the level stipulated by the customer.

Oscillator

Technical analysis indicator that varies over time within a band (above and below a center line, or between set levels), used to discover short-term overbought or oversold conditions.

Overbought

Describes an asset/market in which prices are perceived to have risen higher than is justified by fundamental or technical analysis.

Oversold

Describes an asset/market in which prices are perceived to have fallen lower than is justified by fundamental or technical analysis.

Overnight

A position that has not been closed by the end of business day.

Owner

Account-holder, whose name is listed on the account opening paperwork.

Par Spread

Refers to a situation in which the bid and ask prices for a forward rate spread are identical.

Parity

The condition whereby an option’s value in the market is the same as its intrinsic value.

Pip

The most basic price movement in Forex, equal to 0.0001 (.01% of 1 unit).

Political Risk

Refers to the complications businesses and investors may face as a result of a change in government policy or sudden expropriation (nationalization by the government ).

Position

Netted total exposure to a given currency. A position can be either flat or square (no exposure), long (more currency bought than sold), or short (more currency sold than bought).

Producer Price Index (PPI)

Economic indicator that measures average changes in prices received by domestic producers for their output.

Profit Taking

The unwinding of a position to realize profits, based on the assumption that the asset will soon fall in value.

Purchasing Power Parity

Model of exchange rate determination based on the law of one price, which states that the price of a good in one country should equal the price of the same good in another country.

Profit & Loss or (P & L)

The actual “realized” gain or loss from trading activities. May also include “unrealized” gains and losses from open positions.

Quantitative Analysis

The development and application of mathematical and statistic models towards investing and trading.

Quote

Provision of a bid/ask spread for a currency pair.

Rally

Refers to sustained rise in asset prices.

Range

Difference between the highest and lowest exchange rate for a given currency pair during a given time period.

Rate

Short for ‘exchange rate’ or ‘interest rate.’

Rate of Return

The percentage of gained or lost on an investment relative to the amount of money invested.

Recession

General slowdown in economic activity over a sustained period of time, or a business cycle contraction. Defined by the National Bureau of Economic Research as two consecutive quarters of falling GDP.

Rectangle

Technical analysis pattern characterized by strong support and resistance lines, designating a trading range or consolidation zone.

Relative Strength Index (RSI)

Technical analysis momentum oscillator measuring the velocity and magnitude of directional price movement by comparing upward and downward close-to-close movement.

Reversal

Observed or potential shift in the current trend.

Reserve Currency

Any currency that is perceived as stable/reliable, such that Central Banks are willing to hold it in mass quantities. The US Dollar is currently the world’s foremost reserve currency.

Reserves

Refers to foreign exchange and gold, SDRs and IMF reserve positions, held by central banks and monetary authorities, which can be drawn from to conduct monetary policy and repay obligations.

Resistance

Price level that, if reached, activates many sell triggers.

Retail Prices Index (RPI)

Measures inflation based upon the price of a selection of family goods.

Risk

The potential for adverse activity to result in financial loss, Risks associated with Forex include market risk, liquidity risk, counter party risk, credit risk, and political risk.

Same Day Transaction

Any position that is opened and closed on the same trading day.

Sell Stop Order

Type of limit order, whereby the limit price is placed below the current market price..

Selling Rate

Ask or offer rate.

Selling Short

The act of selling a currency pair such that one is short the base currency and long the quote currency, with the goal of profiting from depreciation.

Short Position

An open position that aims to capture make profit from currency depreciation.

Simple Moving Average (SMA)

Technical analysis indicator commonly used with time series data to smooth out short-term fluctuations and highlight longer-term trends or cycles, that gives equal weight to all data points.

Soft Market

Describes a market characterized by more sellers than buyers.

Speculation

Financial action that does not promise safety of the initial investment along with the return on the principal sum.

Spot Market

The act of buying or selling Forex based on current (spot) prices, with settlement taking place two days later.

Spread

Difference between the bid and ask price for a given currency pair. Also known as Bid Ask Spread.

Sterling

Official term for the British Pound.

Stochastic Oscillator

Technical analysis tool designed to compare the closing price of a currency to its price range over a given time period.

Stockbroker

Agent that buys and sells shares on one’s behalf and earns commission on the value of the transaction. Also known as a broker.

Stocky

Slang term for the Swedish Krona.

Stop Order

An order to buy or sell when the price rises to/above or falls to/below a specified stop price.

Stop Loss Strategy

Trading strategy that involves setting multiple, partial stop loss limit orders at different price levels in order to avoid incurring further losses.

Support

Level or floor that halts a currency’s downward progress, as a result of strong buying pressure at that level.

Swap

Type of derivative in which two parties agree to exchange one stream of cash flows against another.

Swissy

Slang term for the Swiss Franc.

Take Profits

The unwinding of a position to realize profits, based on the assumption that the asset will soon fall in value.

Take-Profit Order (T/P)

An order specifying the exact rate or number of pips from the current price point at which point a current position should be closed, and gains will be locked in.

Technical Analysis

Broad approach to forecasting the future direction of prices through the study of past market data, primarily price and volume. It may also employ models and trading rules based on price and volume transformations.

Technical Correction

Price adjustment that is expected as a result of technical factors, rather than market sentiment or fundamental developments.

Technical Indicators

Short-term trends that technical analysts use to inform predictions for future price movements. Also called Technicals and Technicalities.

Technical Trader

One whose approach to trading relies on technical analysis.

Tick

Smallest possible change in a price, either up or down. Also known as Pip.

Tightening

Refers to a central bank raising interest rates or otherwise conducting monetary policy in an attempt to reduce demand and curb inflation.

Total Return

Annual return on an investment including capital appreciation and interest.

Trade Date

Date on which a position is opened.

Trade Price Response

Belief that a currency will react when a certain price is reached, and that traders should respond accordingly.

Tradeable Amount

Smallest transaction size permitted by a broker, varying from 1 unit to 100,000 units.

Trading Margin Excess

Extra funds beyond the margin requirements for existing positions that can be used to enter into new positions or increase existing positions.

Trading Model

Sophisticated program that provides buy/sell recommendations based on evaluation of historical data.

Trading Platforms

Software applications used for trading Forex online.

Transaction

Buying or selling a currency pair.

Transaction Cost

Fees associated with a transaction, which are either assessed by brokers directly or indirectly via the bid-ask spread.

Transaction Date

Date on which a position is opened or closed.

Trend

The current direction of the market, either up, down, or sideways.

Trend Lines

Lines, arcs, or other visual cues plotted on a line chart used to identify and demarcate price trends.

Triple Top

Technical pattern in which a currency has reached a price level three times previously, but has been unable to break through that level.

Turnover

The number or volume of transactions traded over a specific period of time.

Two-Way Price

When both bid and ask prices are quoted in a transaction.

Uncovered Position

Another term for Open Position.

Underlying Asset

The asset/currency on which the covered warrant, futures contract or option is based and derives its value.

Undervalued

When a currency is trading below purchasing power parity or other valuation metric.

Unemployment Rate

Economic indicator defined as the percentage of those in the labor force who are unemployed.

Unit

The most basic denomination of currency. One unit of USD is equal to one United States Dollar.

US Dollar Index (USDX)

Measure of the value of the US dollar, weighted according to the currencies of its trading partners.

US Prime Rate

The interest rate at which US banks will lend to the most creditworthy borrowers.

US Treasury

Department within the United States government that is responsible for printing money and issuing government obligations.

V Formation

Another term for Spike.

Valuation

The process of estimating the value of an asset or currency.

Variation Margin

Refers to the funds required to bring the margin ratio back up to the required level, calculated daily.

Volatility

A measure of the amount of movement in the price/rate of a currency. Often used as a proxy for risk.

Weekly Charts

Type of charts for which each candlestick or bar encapsulates rate data representing one week.

Whipsaw

Refers to a sharp adverse price movement, or market reversals, perhaps taking place shortly after execution.

Whisper Number

Analysts’ predictions for earnings or economic indicators, which often become known to the public despite not being formally released.

Wire Transfer

Electronic transfer of funds from one bank to another.

Withholding Tax

Tax levied by a country of source on income paid, usually on dividends remitted to the home country of the firm operating in a foreign country.

Working day

Any day on which the majority of banks in a currency’s principal financial center are open for business. In Forex transactions, a working day only occurs if banks in both (or all) currencies’ countries of use are open.

Wedge

Chart formation that shows a narrowing price range over time. In an ascending wedge, price highs become incrementally less, whereas in a descending wedge, price declines become incrementally larger.

Yard

Slang for one billion.

Yield

Return on an investment, usually expressed in percentage terms.

Yield Curve

Graph plotting the interest rate of a given issuer (most commonly the US Treasury) for a range of different maturities.

Z-Certificate

Certificate issued by the Bank of England instead of stock certificates, in order to improve short-term transactions.

ZAR

Currency symbol for the South African Rand.

Zero Bound

Refers to interest rates (and corresponding monetary policy) that are at or very close to zero percent.