Trading Basics
Circuit Breakers
When exchanges stop the trading in a security that has fallen significantly.
This is done to stop an uncontrollable panic.
Other Trading Basics
Contango
This is when the futures price of a security is above the cash price at maturity. The opposite is backwardation.
CFD
Contract for difference.
An OTC financial derivative where the counterparties agree to exchange the change in a price.
No underlying assets are exchanged.
Corporate Action
An event that requires approval or notification of the shareholders of a business.
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Learn the skills needed to trade the markets on our Trading for Beginners course.
