Trading Basics
Currency Options
A option is the right to buy or sell something in the future but not the obligation. A currency option is on an FX market.
Other Trading Basics
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.
Credit Rating
An entities perceived ability to repay its debt. Provided by credit rating agencies. AAA is the best credit rating.
Buy Stop
An order type where the trader wishes to go long above the current market price.
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Learn the skills needed to trade the markets on our Trading for Beginners course.