Trading Basics
Bollinger bands
A technical indicator developed by John Bollinger.
The bands help a trader visualise changes in price volatility.
Other Trading Basics
Balance of Payments
Also BoP. This is the difference between payments into or out of a country. It can be negative or positive and is used by traders in fundamental analysis.
Annuity
A guaranteed income for the rest of someones life.
Historically purchased with pension lump sums.
The buyer is swaping cash now for future income.
Bottom Up Analysis
A form of fundamental analysis which starts with analysis of the individual parts.
Bottom up analysis of an index would involve the analysis of each company in that index.
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Learn the skills needed to trade the markets on our Trading for Beginners course.