| After hours dealing or trading | Securities trading after regular trading hours on organized exchanges |
| Basis Point | Basis point is a way of expressing variations in bond yields. One basis point is 0.01 percentage point. Basis points also are used for interest rates |
| Bear | Someone who believes that prices in the stock market are going to decline. Opposite of a "bull" |
| Blue-Chip Stock | Company renowned for the quality and wide acceptance of its products or services, and for its ability to make money and pay dividends |
| Bond | Bonds are debt and are issued for a certain period of time. The price of various bonds can be traded with Finspreads |
| Bull | Someone who believes that prices in the stock market are going to rise. Opposite of a "bear" |
| Call option | An option that gives the holder the right to buy the underlying asset. Opposite of a "put" |
| Closing Price | The price at which a product was traded to close the open position. Also refers to the price of the last transaction in a day's trading session |
| Day Trading | Opening and closing of a position in the same contract in one day |
| Delist | To remove a stock's listing on an exchange |
| Derivative | A financial contract whose value is based on or "derived" from, a traditional security (such as a stock or bond), an asset (such as a commodity) or a market index. Financial spread betting is a derivative product |
| Dividend | Portion of a company's earnings paid to stockholders. Clients who have buy positions in share contracts are not entitled to dividend payments |
| Double Witching Day | The last trading day before expiry of options and futures on the same underlying asset |
| Ex-Dividend | Without dividend, that is, the purchase of stock will not receive the most recent declared dividend. Shares paying a dividend generally tend to decline on their "ex-dividend date" |
| Expiry Date | Date at which a contract will be expired. |
| Expiry Price | Price at which contracts are settled if they are left to expiry |
| Fill | Execution of an opening or closing order |
| Hedge | A transaction that reduces risk |
| IMM | International Monetary Market |
| Inflation | The rate at which the general level of prices for goods and services is rising |
| IPO | Initial Public Offering. Private company's first offer of stock to the public |
| Interest Rate | Cost for the use of capital expressed as a percentage of the sum of money borrowed |
| In-the-money Option | A put option that has a strike price higher than the underlying future price, or a call option with a strike price lower than the underlying futures price |
| Intrinsic Value | The value of an option if it were to expire immediately with the underlying stock at its current price |
| Level Two | Live pricing system that provides market depth |
| Leverage | Leverage is the realisation that a large return can be obtained from a relatively small outlay with risks attached. Leverage is also known as gearing |
| Limit order | Minimum selling or maximum buying price as instructed by the client. A limit order is an order to buy or sell a better price to where the market is currently trading |
| Liquidity | A market characterized by the ability to buy and sell with relative ease |
| Long | Opening a buy position in expectation that the market price it will rise |
| Margin | The deposit or available credit needed on your account in order to have your positions open |
| Margin Call | A call from the credit department for further funds to be deposited in the account to support additional exposure from running losses |
| Market Capitalisation | The number of shares of a company in issue, multiplied by its share price |
| Market Gap | A term used when the price of a stock rockets or dives in a direction away from its last price range |
| Market Order | An order to have a position opened or closed when the underlying market trades at the specified price. |
| NYSE | New York Stock Exchange |
| Open position | A long or short position whose value will change with a change in prices |
| Option | A financial derivative instrument that gives the right to purchase (call) or sell (put) a fixed amount of stock at a specified price and within a certain time limit. |
| Option writer | Also called the option seller; the party who grants a right to trade a security at a given price in the future |
| Order | Buy or sell instruction given by a client to a dealer |
| Out-of-the-money Option | A call option is "out of the money" if the strike price is greater than the market price of the underlying security. That is, you have the right to purchase a security at a price higher than the market price, which is not valuable. A put option is out of the money if the strike price is lower than the market price of the underlying security. |
| Partial Fill | Where the client has specified that they wish only part of their stake filled on a closing order |
| Portfolio | A collection of investments, real and/or financial |
| Put Option | A financial derivative instrument used in options trading. A "put" would give an investor the right, but not the obligation, to sell shares at a fixed price up to a predetermined date. The opposite of a "put" is a "call" |
| Recession | Downturn in a country's economy |
| Resistance Level | A price level above which it is supposedly difficult for a security or market to rise |
| Retail Investor | Small individual investors who commit capital for their personal account rather than on behalf of another |
| Rollover | Transferring a trade that is near expiry into the next contract period |
| SEC | Securities and Exchange Commission |
| Sell | Same as taking a "short" position |
| Short | Opening a sell position in expectation that the market price it will fall |
| Speculate | A estimation made following research |
| Spike | Sharp up or down movement in the value of something |
| Spread | The difference between the buy and sell price |
| Stop Loss Order | An order to close a position at a particular level when the price moves against you |
| Stop Order | An opening or closing order to buy or sell at a worse price to where the market is currently trading |
| Straddle | Purchase or sale of an equal number of puts and calls with the same terms at the same time |
| Strangle | Buying or selling an out-of-the-money put option and call option on the same underlying instrument, with the same expiration. Profits are made only if there is a drastic change in the underlying instrument's price |
| Strike Price | The stated price per share for which underlying stock may be purchased or sold by the option holder upon exercise of the option contract. |
| Support Level | A price level below which it is supposedly difficult for a security or market to fall. That is, the price level at which a market tends to stop falling because there is more demand than supply; can be identified on a technical basis by seeing where the stock has bottomed out in the past |
| Swing Trading | Refers to a type of short term (one day to a couple of weeks) trading, triggered by technical analysis, for example, momentum |
| Takeover | Acquiring control of a corporation by stock purchase or exchange |
| Target Price | Maximum retail price for a product under development. In the context of takeovers, the price at which an acquirer aims to buy a target firm. In the context of options, the price of the underlying security at which an option will become in the money. In the context of stocks, the price that someone hopes a stock will reach in a certain time period |
| Time to Maturity | The time remaining until a financial contract expires |
| Time Value | Portion of an option price that is in excess of the intrinsic value, due to the amount of volatility in the stock; sometime referred to as premium. Time value is positively related to the length of time remaining until expiration |
| Trading Range | Range between the highest and lowest prices at which a stock is traded |
| Unencumbered Funds | Funds that trading margin is not using i.e. available trading resources |
| Volatile | Situation that changes rapidly or suffers from extreme fluctuations |
Strategies | Neutral Strategies | Bearish 
Strategies