Trading Basics

Deep in the Money

In options trading, this means when the strike price is the right side of the current price and a long way from it. The option is in the money and there is little chance of it not being so.

Other Trading Basics

Cash Call

When your broker asks you to deposit more cash into your brokerage account to cover margin requirements.

Credit Account

For those with excellent credit some brokers will provide a credit account. This means the trader puts up less margin.

Book Building

When a new share is issued book building is the process institutions go through to gauge demand and therefore price.

This goes on before the share is available to trade on the exchange.

Start learning

Learn the skills needed to trade the markets on our Trading for Beginners course.