Trading Basics
Warrant
The right to buy new shares at a set price in a company at a future point in time. Similar to an option which gives similar right but over existing shares.
Other Trading Basics
American Option
An option that can get exercised at any time during its life.
European options can only be exercised at the end.
Candlestick Chart
A type of chart using a security’s opening, closing, high and low price for a particular period.
Cost of Carry
The cost to a trader of maintaining a position. This might be in form of overnight financing on simple CFD trades but can also include the costs to insure, transport or finance on more complex trades.
Start learning
Learn the skills needed to trade the markets on our Trading for Beginners course.
