Glossary

Group of 7 Nations - United States, Japan, Germany, United Kingdom, France, Italy, and Canada.

Group of 8 - G7 nations plus Russia.

A quick market moves in which prices skip several levels without any trades occurring. Gaps usually follow economic data or news announcements.

Gearing refers to trading a notional value that is greater than the amount of capital a trader is required to hold in his or her trading account. It is expressed as a percentage or a fraction.

An index of the top 40 companies (by market capitalization) listed on the German stock exchange – another name for the DAX.

Refers to a bid being hit or selling interest.

A technical level succumbs to a hard-fought battle.

Greenwich Mean Time - The most referred time zone in the forex market. GMT does not change during the year, as opposed to daylight savings/summertime.

The purchase of a stock, commodity or currency for investment or speculation – with the expectation of the price increasing.

The selling of a currency or product not owned by the seller – with the expectation of the price decreasing.

It is commonly accepted that gold moves in the opposite direction of the US dollar. The long-term correlation coefficient is largely negative, but shorter-term correlations are less reliable.

A certificate of ownership that gold investors use to purchase and sell the commodity instead of dealing with transfer and storage of the physical gold itself.

The standard unit of trading gold is one contract which is equal to 10 troy ounces.

An order to buy or sell at a specified price that remains open until filled or until the client cancels.

An order type that will expire on the date you choose, should it not be filled beforehand.

An order that will expire at the end of the day if it is not filled.

Nickname for the US dollar.

Total value of a country's output, income or expenditure produced within its physical borders.

Gross domestic product plus income earned from investment or work abroad.

An order type that protects a trader against the market gapping. It guarantees to fill your order at the price asked.

A stop-loss order guaranteed to close your position at a level you dictate, should the market move to or beyond that point. It is guaranteed even if there’s gapping in the market.

Refers to traders pushing to trigger known stops or technical levels in the market.