Trading Basics
Closing Trade
A trade to close a position. Most trading requires the trader to place the opposite trade to that done when opening their position.
This will crystallise the profit or loss.
Other Trading Basics
Ask Price
The ask price is the level at which a seller is willing to accept a bid on a security.
The ask price is always higher than the bid price.
Also known as the offer price.
Cyclical Shares
Equities that follow the economic cycle. For example banking shares typically rise and fall with a cycle.
Cost of Carry
The cost to a trader of maintaining a position. This might be in form of overnight financing on simple CFD trades but can also include the costs to insure, transport or finance on more complex trades.
Start learning now
Learn the skills needed to trade the markets on our Trading for Beginners course.
Register Now
[formidable id=11]
