Trading Basics
Bear Trap
When a piece of analysis points to the market falling and the price instead goes up, trapping the bears.
Other Trading Basics
Carry Trade
A forex trading strategy of borrowing funds in a low-interest rate currency and buying assets in higher yielding currency.
For years this was selling Yen to buy Dollars.
ABS
Asset-backed securities.
These are securities backed by assets, like mortgages, which are claimable if the creditor defaults.
Basis Point
A basis point is 0.01% and is typically used when quoting interest rate changes.
A move of 0.25% is described as 25 basis points.
Start learning now
Learn the skills needed to trade the markets on our Trading for Beginners course.
Register Now
[formidable id=11]
