Trading Basics
ADR
American Depositary Receipts or ADRs. These are shares of foreign companies listed on exchanges in the USA in dollars.
They allow US investors to get access to overseas shares without the hassle of having to exchange currency, open brokerage accounts overseas and so on.
Other Trading Basics
Cut and Reverse
When a position is fully reversed and an opposing position taken in a single trade.
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.
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