Tuesday, November 10, 2009

USD / JPY Technical Forex Analysis for Forex Traders

After stopping on Monday, at Fibonacci resistance 90.68 down to the pip, Dollar-Yen stopped yesterday at the moving average SMA100, with the same kind of accuracy. And as you know, stopping near Fibonacci resistance levels (and moving averages as well) is an evidence that the trend in down. That’s why we find ourselves favoring a continuation of the short-term downtrend as long as we are below 90.68.

And we will await a break of short-term Fibonacci support 90.21. If we break this support the downtrend will resume, and will target 89.61 first, then 89.07 and may be the important 88.64. The price behavior for the past two days, and the amazingly accurate reversal at the Fibonacciresistance (90.68), makes it the most important resistance , and to add to that, the upper limit of the short-term downtrend (the trendline drawn on the chart), is currently at the same level. And only if it is broken, we will change our negative outlook for this pair. If this surprise happens, we will expect price to reach 91.28 then the importantresistance 91.63.

USD / JPY Technical Forex Analysis for Forex Traders

Dollar-Yen broke Fibonacci resistance 90.68 and reached 91.28 as we accepted, with accuracy (yesterday's high 91.30), before retreating fast. This behavior redefined the rising channel on the hourly chart to make its bottom at 90.18. And when calculating Fibonacci 61.8% resistance for the short-term (for the drop from yesterday's high), we find that it is at the resistance level of 90.90.

In case of a break of either of those levels, we believe price will move in the direction of the break. If the bottom of the channel at 90.18 is broken, the price will move down and target 89.61 first, and may be 89.07 as well. While if we break Fibonacci resistance at 90.90 we expect a rise to surpass yesterday's high, targeting the important 91.63 first, and only if it is broken we can expect 92 to appear on the price screens when the price targets the obvious resistance on the hurly chart 92.17.


• 90.18: the bottom of the rising channel on the hourly chart.

• 89.61: previous support & Oct 12th low.

• 89.07: previous intraday support.


• 90.90: Fibonacci 61.8% for the short-term.

• 91.63: a well known support area that contained a number of daily tops and bottoms, the last of which was Oct 29th high.

• 92.17: obvious resistance on the hourly chart.

SpamTitan Technologies launches powerful web filtering product for SMBs

SpamTitan Technologies, a division of Copperfasten Technologies, today announced the launch of WebTitan, a powerful web filtering solution. WebTitan is designed to be the most comprehensive filtering solution for small- and medium-sized businesses (SMBs), requiring a powerful, easy-to-manage and cost-effective solution that ensures online employee activity is protected from threats and adheres to corporate internet policies.

WebTitan allows businesses to tightly control which websites can be accessed at work and when. WebTitan also adds value by reducing cost, increasing productivity, improving network security and reducing bandwidth demands along with flexible reporting and tight firewall integration.

The product is available in two formats: as a software image suite with its own complete operating system for self-build (WebTitan ISO); and as a virtual appliance (WebTitan for VMWare). Real-time content filtering of images and text and strict application controls help WebTitan to block access to inappropriate content. Another key feature is WebTitan’s ability to reinforce company defences by providing URL filtering of up to 53 customisable categories including tens’ of millions of URL’s. The product uses a cloud-based database and real-time classification system to provide an unmatched combination of accurate and scalable coverage.

”Organisations need to adopt a multi-layered web defence strategy that can protect their users and networks from increasingly sophisticated threats,’ said Ronan Kavanagh, CEO of SpamTitan Technologies. “We were one of the first vendors to offer a virtualised anti-spam appliance for SMBs and now we are one of the first to offer virtualised content filtering. Advantages such as ease of deployment, streamlined redundancy and backup, and the key benefits of scalability and mobility, have made virtual appliances increasingly popular with customers.”

“This virtual aspect in conjunction with extensive functionality, in-depth reporting and unmatched accuracy sets WebTitan apart from all other web filtering solutions,” he added.

The product is available for free download from the WebTitan website at http://www.webtitan.com. WebTitan offers organisations protection for their data from malware and other internet threats such as viruses, spyware and phishing as well as providing user policy browsing tools to ensure corporate internet policy is adhered to.

ServInt Expands with New Data Center in Los Angeles

ServInt, a pioneering provider of high-reliability, managed web hosting for businesses worldwide, today announced it has expanded its operations with the opening of its first data center in Los Angeles. The new data center, known as ServInt LA, represents a strategically important addition to ServInt’s existing data centers in the Washington, D.C. metro area, known as ServInt DC.

ServInt LA takes advantage of the vast network infrastructure of the Los Angeles metro area. This new resource enables ServInt to offer its customers a convenient choice between two geographically diverse server locations.

ServInt CEO & Founder Reed Caldwell has relocated to to supervise the development and implementation of ServInt LA and its corresponding network enhancements.

“As demand for our web-hosting service increases worldwide, ServInt LA enables us to provide more options for our customers by leveraging the massive Los Angeles bandwidth hub. It also supports our aggressive international growth objectives. It is my privilege to personally manage this major company milestone,” said Caldwell.

Caldwell explained that the geographic location of ServInt LA is ideally suited to meet the web-hosting requirements of both new and existing customers in the western United States, western Canada, Latin America, Asia and Oceania. He said most ServInt customers in the eastern and midwestern United States, eastern Canada, Europe and Africa will continue find ServInt DC to be the best location for their content.

Caldwell concluded, “ServInt LA enables us to meet the demanding data requirements of selected clients in the fastest, most economical way possible. ServInt LA is directly connected to ServInt DC, to ensure an optimal customer experience. Customers utilizing any ServInt data center will continue to benefit from our unwavering commitment to high security, 24/7/365 support and on-site technical expertise.”

Climate Positive & Community Focused
The operation of ServInt LA will reflect ServInt’s commitment to Green IT services. In accordance with ServInt’s policy of climate-positive hosting, the new data center will leverage ServInt’s industry-leading, energy-efficient virtualization implementation. It will also practice 100-percent recycling of recyclable vintage hardware components. ServInt will also offset the carbon-footprint of ServInt LA by 110 percent through reforestation projects, as it does with all its facilities.

To demonstrate its commitment to the Los Angeles community, ServInt has made a donation to United Way of Greater Los Angeles’ “Creating Pathways Out Of Poverty” plan

Toshiba starts sample shipping of SpursEngine

TOKYO--Toshiba Corporation today announced the start of sample shipping of the SpursEngine™ SE1000 (SpursEngine), a high-performance stream processor integrating four Synergistic Processing Element (SPE) cores derived from the "Cell Broadband Engine™" (Cell/B.E.™). Sample shipping started from today, and Toshiba expects sales of 6 million units within the first three years of the SpursEngine’s release.

SpursEngine is a co-processor that integrates a hardware codec for Full HD encoding and decoding of MPEG-2 and H.264 streams with four SPEs derived from Cell/B.E. These advanced processing elements offer high performance media streaming capabilities, with a clock frequency of 1.5GHz, while achieving low power consumption range of 10W to 20W.

"We are very pleased to have started sample shipping of SpursEngine" said Yoshio Masubuchi, Director of Toshiba’s System LSI Division, Advanced SoC Development Center. "The design of this powerful co-processor is dedicated to bringing the advanced capabilities of the Cell/B.E.™ to consumer electronics, particularly video processing in digital consumer products. We are sure that SpursEngine will accelerate the market for full-HD applications."

Toshiba will support developers working on SpursEngine applications with a comprehensive reference kit that includes a reference board and essential middleware APIs. The reference board has a PCI-Express edge connector that can connect to an x1 layer slot in a PC. Toshiba will also provide an integrated development environment (SPE compiler, SPE debugger, and performance monitor) and sample applications that demonstrate how to use the provided middleware. With the reference kit, customers can quickly and easily construct an evaluation and development environment and accelerate product development.

Toshiba will further boost the performance and cut the power consumption of the SpursEngine, towards supporting further innovation in products offering new levels of functionality.

The Gory Details of NY's Antitrust Suit Against Intel

On February 16, 2006, Intel took note of a service report in which Dell's chief executive, Kevin Rollins, had said that Dell had "made no plans to begin using" AMD chips. "Finally, something positive," commented one Intel executive. On the contrary, Intel CEO Paul Otellini returned: "The best friend money can buy."

Minus a few minor changes, this anecdote not only spells out the relationship that New York State Attorney General Andrew S. Cuomo alleges Intel had with its OEM partners, but the level of detail of the antitrust suit that the State of New York filed last Wednesday. Unlike the clipped anecdotes at the heart of the European Union's case, New York's suit almost reads like a John Grisham novel.

Intel has already been investigated and/or sued for antitrust violations in South Korea, Japan, and the European Union, which fined Intel the equivalent of $1.45 billion. Unlike the supporting documents the EU provided, however, the New York suit not only makes allegations, it backs them up in detail.

To be fair, this is only part of the story; Intel spokesman Chuck Mulloy told me that the company can't comment on the allegations in detail, due to a protective order. He did characterize the evidence as "one-sided," however, and said that "exculpatory" evidence will be released at the trial.

Until the trial begins next March, however, one side is all we have.

According to the suit, Intel's behavior was predicated on marginalizing AMD in the market. Intel's actions, the suit contended, harmed New Yorkers by eliminating true competition.

"Intel knew that if it could exclude AMD from the most lucrative segments of the microprocessor business, AMD could never become a genuine threat," the suit says. "For AMD to make sales was not sufficient; if it were to challenge Intel's monopoly power, it would have to make substantial high-value sales to major corporate customers. Only by raising the average selling price of its products could AMD challenge Intel's leadership. Intel therefore argued to OEMs that Intel would 'continue to pigeon hole AMD to the bottom 10 percent of segment.'

"Intel's Paul Otellini believed that AMD units which were sold on 'the backstreets of beijing [sic] are wonderful...[T]here is really no question that in the long run, I would like to see amd [sic] output spread round the world as a low cost/low value, unbranded brand…' Accordingly, in the following years, Intel focused on barring AMD's access to this vital high ground – the corporate market and its gatekeepers, the major OEMs," the suit added.

To achieve this, Intel first began eliminating its paper trail, taking sensitive conversations out of e-mail and onto the phone or via instant-messaging applications, the suit alleged.

And then there was the language: Partners were "aligned" with Intel, in a "strategic" sense. Those that weren't were "transactional" partners, and paid the open-market price for processors. Those strategic partners were privy to special deals: CAP (Customer Authorized Price), or ECAP (Exception to Customer Authorized Price). In Dell's case, the acronym was different: MOAP, or the "Mother of All Programs."

Dell, HP, Intel, and IBM are all part of the investigation, and few escape being tarred by Cuomo's brush.

First, there's Otellini's quote above. The evidence Cuomo's team amassed portrays Dell as a company hooked on Intel's marketing dollars, with executives begging Intel for more money to meet Dell's quarterly earnings forecasts. From Feb. 2002 until Jan. 2007, Intel paid Dell $6 billion in "rebates." "Bid buckets" discounted the CPUs Dell purchased to 500 percent of the purchase price—yes, Intel paid Dell five times the price of each CPU to allow Dell to win business using Intel parts. A Dell spokesman declined to comment on the suit.

And, when Dell finally caved and bought AMD chips, Intel took the same subsidized deal to Lenovo, the suit alleged.

Intel has previously denied that Dell was intimidated into buying exclusively from Intel. "One important OEM, Dell, which the Decision says was coerced by fear of Intel 'punishment' to buy exclusively from Intel, has confirmed publicly that it always considered itself entirely free to choose to buy from AMD, without fear of reprisal or punishment," Intel said, in a published response to the EU's decision.

In some ways, HP's relationship is even more bizarre. On one hand, Intel convinced HP to restrict the sales of AMD-based PCs to just 5 percent of its total output, through a combination of strict sales practices that limited HP from selling an AMD SMB machine directly from HP, rather than its massive sales channel.

But the stick that Intel wielded was none other than the Itanium, the oft-maligned enterprise server chip that Intel spent billions developing. Internally, this is what HP concluded, according to the suit: "Itanium is more important to HP's future server and workstation business success than it is to Intel."

The suit quotes Otellini, then chief operating officer at Intel, as threatening to shift its resources into developing 64-bit extensions for its chips, a path Intel later took, and away from Itanium.

IBM also was not immune to Intel's marketing dollars. In 2004, IBM was prepared to launch the e350, a 4-way server based on AMD's Opteron chips. Instead, according to the suit, Intel paid IBM $130 million over three quarters, during a time when IBM's annual, Intel-based server revenue was about $500 million.

New York's suit is detailed enough that it's impossible to include all of the anecdotes and relevant facts. Here, however, are some of the highlights. Quotations are taken from the New York filing.

New Processors: 32nm or Inexpensive Quad-Cores?

This week has seen both AMD and Intel make big strides with their processors, with Intel teasing information about its new 32nm processors, and AMD announcing an inexpensive quad core chip.

Earlier this week, Intel started posting videos about its upcoming line of 32nm processors, which are slated to be unveiled at the Intel Developer Forum (IDF) next week. These chips, which use the "Westmere" cores are expected to be very small dual-core processor dies, which will be paired with 45nm integrated graphics to create the "Arrandale" mobile chip and the "Clarkdale" desktop one. ExtremeTech has a preview of IDF currently on the site.

I expect we won't see Arrandale systems until later this year, but the technology is actually quite amazing, and I'm certainly interesting in hearing more about them.

Although AMD is a bit behind on process technology - it released its first 45nm chips early this year - it is instead focusing on value, today introducing new Quad-core processors that start at less than $100. The Athlon II X4 620 runs at 2.6 GHz and has a list price of $99, while the 2.8GHx Athlon II 630 lists at $129. These chips, part of the "Propus" line have 2 MB of Level 2 cache per core, and a total desktop power of 95 watts.

What this means is that you can get a quad-core chip for less than $100, and when paired with the company's new 785 chipset, should mean for much less expensive quad-core systems. On Intel's current price list, its lowest-price Core 2 Quad chip is the 2.33GHz Core 2 Quad with 4 MB of Level 2 cache at $163. (All processor prices are typically quoted for a quantity of 1000.)

Whether you really want a quad-core desktop depends on your application, of course. For running a single application, you can find a faster dual-core system at the same price and thus get better performance in most cases. For high-end gaming, you want a system with discrete graphics. But for lots of multitasking, a quad-core system is often the right choice, and these new AMD systems should perform well at that. These won't be the fastest systems on the market, but they seem to offer good price/performance. (For more details, here are reviews from Techware Labs and Legit Reviews.

For more of Michael Miller's take on the world of Tech, read his blog, Forward Thinking.

The release of Intel's Core i5 and i7 Lynnfield processors

The release of Intel's Core i5 and i7 Lynnfield processors and the matching P55 chipset has been followed by a new round of DDR3 memory offerings from memory manufacturers big and small. These kits all use DDR3 memory, of course, and DDR3 brings several notable improvements to the game over its predecessor DDR2. Here's a cheat sheet of what's new:

  • DDR3 can prefetch 8 bits per clock cycle compared to DDR2's 4 bits, A 100% improvement.
  • DDR3 uses less power, with 1.5 Volts nominal power supplied to chip modules compared to DDR2's 1.8 Volts. (Note that is a guideline. You will find DDR3 chip modules rated from 1.5 volts all the way up to 1.8 volts so check the manufacturer's specifications carefully).
  • DDR3 uses a "fly-by" topology where each chip module is connected directly to the memory controller, as opposed to the DDR2 star topology, allowing each chip module to be calibrated separately for superior performance.
  • DDR3's top speed (non-overclocked) is twice that of DDR2—1,600 MHz versus 800 MHz respectively—and as you'll see, DDR3 can go even faster.
  • You can find a detailed article on DDR3's benefits and features at Benchmark Reviews. I would like to point out an important note the article makes about the benefits of DDR3's fly-by topology:

    With DDR3, the signal integrity is individually tuned to each DRAM module rather than balanced across the entire memory platform. Now both the address and control line travel a single path instead of the inefficient branch pattern T topology in DDR2. Each DDR3 DRAM module also incorporates a managed leveling circuit dedicated to calibration, and it is the function of this circuit to memorize the calibration data. The Fly-by topology removes the mechanical line balancing limitations of DDR2, and replaces it with an automatic signal time delay generated by the controller fixed at the memory system training.

    The article also highlights an important new development for overclockers that comes straight from Intel. It's called XMP, which stands for eXtreme Memory Profile. Overclocking with an XMP-compatible motherboard and XMP-enhanced memory modules is a breeze, since it manages the CPU multiplier, voltages, and FSB frequencies, removing a lot of the guesswork, tweaking, and testing required when overclocking.

    For the hard core techies, Chip Design magazine covered in depth many of the other improvements that make DDR3 chip modules more robust. These help provide better performance when compared to previous memory architectures, especially when it aacomes to improving signal integrity and managing impedances.

    Monday, November 9, 2009

    Risk Appetite Drives Canadian Dollar Up

    Canadian DollarThe Canadian dollar rallied today versus several currencies and specially against its U.S. counterpart, as stocks and commodities climbed worldwide after the Group of 20 affirmed that is relaxed policy to stimulate the world economy will be extended, increasing risk appetite in trading markets.

    Canada is one of the most commodities and stocks linked currencies, as the country is a main exporter of its natural resources surplus specially to its neighboring U.S., which has a much higher demand for energy than Canada. Today, stocks and commodities rose sharply after the G-20 affirmed that its measures to stimulate the global economy will continue to be a part of the group’s policy to the process of global economic recovery, providing support for the loonie to rose versus most of the 16 main traded currencies, and specially versus the greenback, gaining almost 2 percent as the U.S. currency fails to remain attractive as risk appetite is on the rise.

    Even if the Bank of Canada affirmed in multiple occasions that a strong loonie is an obstacle for the nation’s economic recovery, analysts indicate that the scenario is so favorable for the Canadian dollar, that it will be hard to stop it to grow further, specially versus its U.S. counterpart, as optimism is driving the commodities prices up constantly.

    Gold Hits Record High Pushing South African Rand Up

    South African randSouth Africa is one of the world’s largest precious metals producers, and today, as the gold and platinum rose in a session of strong risk appetite, the African nation witnessed a strong bullish pattern in its currency’s chart, as optimism among traders increased.

    The South African rand reached its highest rate in two weeks after the price of gold reached a record and platinum had its first rate rise in 3 days, attracting traders to purchase assets in South Africa, one of the main suppliers of gold in the world.

    USD/ZAR traded at 7.39 as of 17:03 GMT from an opening rate of 7.44 today.

    Brazilian Real Rises on G-20 Stimulus

    Brazilian RealThe Brazilian real was one of the most benefit currencies today with the Group of 20 statement indicating that stimulus measures to support the global economic recovery will be extended, increasing risk appetite among traders today that opted for assets in emergent markets.

    The Brazilian currency climbed today to the highest level in 2 weeks, flirting once again with the $1.70 psychological level with the the U.S. dollar, as several commodities abundant in Brazil rose following G-20 statements that helped another day of optimism to induce investors to inject capital in the South American nation.

    USD/BRL traded at 1.7085 as of 16:38 GMT from an opening rate of 1.7175.

    Saturday, November 7, 2009

    Dollar Gains Slightly as Unemployment Rises

    Risk appetite suffered a significant impact towards the end of this week’s session after both U.S. and Canada published grim employment figures, forcing investors to take more cautions positions and bet once again in the relative safety provided by dollar-priced assets.

    The U.S. dollar gained versus several currencies towards the end of this week session, and specially versus its Canadian counterpart as employment figures were published in both North American countries, indicating a surprising aggravation in unemployment in both U.S. and Canada, fact which raised risk aversion among North American traders, and to a lesser extent globally. Even if higher unemployment shift risk appetite levels among traders, the U.S. dollar is ending this week once again negatively versus the euro, after the European Central Bank affirmed yesterday that measures to stimulate the economy will be gradually phased out, creating speculations that the Eurozone economic health is considerably better than the North America’s current situation.

    Unemployment is raising worldwide, and its almost a sure shot to expect negative reports regarding job figures every time data is published, according to some analysts. Even if these North America reports brought investors to safety, it was not enough to erase dollar losses this week, as investors still prefer to maintain their bets in higher-yielding markets.

    USD/CAD traded at 1.0678 as of 14:55 GMT from a previous rate of 1.0626 in the intraday comparison

    Yen Gains on U.S. Job Losses

    Demand for safety rose towards the end of this week’s session as U.S. payrolls were cut beyond analysts expectations, suggesting that the economic recovery in North America will take longer than previously imagined by economists.

    Both the United States and Canada surprised traders posting worse than expected unemployment figures, shifting confidence in markets and attracting traders towards the safety of the Japanese currency, making the yen to gain versus the Swiss Franc, emergent market currencies and higher-yielding options like the Australian dollar.

    CHF/JPY traded at 88.36 as of 16:07 GMT from a previous rate of 89.25 in the intraday.

    South African Rand Top Weekly Currency on Gold Rise

    The South African rand was the best performing among 16 main traded currencies in foreign-exchange markets, as demand for metallic commodities exported from the African nation rose globally, increasing their rates and influencing positive the rand’s price and attractiveness.

    This week gold and platinum, the biggest South African metal exports rose significantly as risk appetite reigned during most of the past five days, providing support for the rand to top the rank of best performers currencies, and causing the sharpest weekly rally in 3 months. Another positive point favoring the rand this week was a decline in foreign currency reserves growth, which could be interpreted as a neutral position from central bank policy makers regarding the current high levels of the rand. The South African rand is ranking among the top 5 best performing currencies in 2009, with other currencies from countries with similar profile as the South African nation, with high interest rates and a commodity export driven economy, such as the Australian dollar, and the Brazilian real.

    Analysts affirm that the South African Reserve Bank position towards the rand’s strength is favorable for the currency to rally, as in other countries, like Canada, a strong currency is being highly unwelcome, which is affecting the Canadian dollar profile, differently from the rand, which still has a favorable scenario to grow further.

    USD/ZAR closed the week at 7.54 after being traded to as high as 7.91 during the week.

    Brazilian Real Gains Sharply on Risk Demand

    The Brazilian real had one of the best weeks in more than 2 months as demand for commodities and emergent markets assets rose globally, maintaining the real as the best performing currency in 2009 among the 16 main traded ones in foreign-exchange markets.

    The real extended its gains this week flirting with the $1.70 level as risk appetite was strong during most of the previous 5 days, even if rising speculations that the national central bank will impose further measures to control the currency’s rally, following the implementation of a new tax for foreign capital invested in Brazilian stocks created last month.

    USD/BRL closed the week 1.7193 from 1.7650 in the beginning of the week.

    Trading short term time frames and moving averges in a trend pt.2

    How does TIME effect your trading?

    This is not just limited to the time you enter the trade, although that is certainly going to impact your trade because of typical pip movement during the time of day and economic events.

    This is not just limited to the day either. Did you know that certain days have different average pip movement ranges?

    This is not even just limited to the time frame. It's all three.

    All three effect the volatility and therefore the potential upside and downside of an entry. The time frame itself is one of the most important and often the most overlooked. Consider time frames like a slice of psychology. The bigger the time frame - the bigger the slice. The bigger the slice - the most chance for a wider pip range.

    I think that visually and intuitively most trades already know this. If I were to ask you to walk as far as you could in 30 minutes or in four hours, which would allow you to cover more ground? Four hours ofcourse. So apply this same thinking to time frames. Prices are simply -- if given more time - be bale to cover more ground on the price chart.

    Let's consider patterns. If a fifteen minute chart developed a triangle it will inherently be smaller than a triangle formed on a four hour chart. The four hour candles will have a bigger pip movement range per candle and it's these (typically) larger candles that will form the pattern.

    Bringing this back to daytrading and the five minute chart: The time frame is not simply a risk management choice so don't get hung up on the shortness of the time frame...although ofcourse a single lot of a five minute set up is going to present different risk, reward, support, resistance, and trend implications than a longer time frame such as even a 15 or 30. Remember the time frame effects trade frequency, follow-through, and psychology. Over the course of an hour, a five minute chart could cycle through all four market cycles. This for even a 15 minute chart would be all but impossible. I should mention that one of the beliefs of my trading set ups is that they would on any and all time frames. So even though I am outlining a very short term time frame here, as long as same steps are followed, this could would on any time...15, 30, 60, 240, daily...The main idea is to recognize a trend and play corrections within the trend. I'll show you the set up in part three, it's really simple, and the trade management in part four using Fibonacci extensions.

    Let's finish our talk on time with the following graphs to illustrate what I am trying to get across about time frames and pip movement. I use the EUR/USD show you the importance of time. Remember that each pair has nuances all it's own though! In fact let's start with a broad view as I show you many popular pairs and cross-rates and their respective daily pip movements:

    11-6-2009 6-52-06 AM.gif

    Webhosting.uk.com Announces Free Domain for Life with It's Shared and Reseller Hosting

    A leading UK web hosting provider, today announced that they will be providing free domain name registration/transfer with their Linux/Windows shared and reseller hosting plans.

    The company has also increased the web space and monthly bandwidth allocation of one of its most popular cPanel hosting plan, cPanel Basic plan which would give the users more room to expand. It states that cPanel Basic plan is a perfect package which was designed keeping in mind personal and small business websites. Some of the key features of cPanel Shared hosting plans (https://www.webhosting.uk.com/cpanel-hosting.php) include ability to host UNLIMITED Domains, UNLIMITED Email Accounts, Instant Account Activation, FREE Domain Registration, Free Setup, No Hidden Fees, No Overselling and 24x7 support. Customers get the popular cPanel control panel with Linux hosting and DotNetPanel with Windows hosting plans to simplify the management and administration of their websites. Daily SQL backups and weekly full backups of web data on these shared servers is also configured by the company on their advanced NAS storage system.

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    James Anderson, Sales & Marketing Manager, WEBHOSTING UK COM LTD states "we pride ourselves on providing all the necessary resources with our web hosting that one needs to set up their own website. Our free domain for life offer means that all customers can register new domains or transfer their domains to us and pay nothing while still receive the full benefits on offer".

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    Founded in 2001, WebHosting UK offers an array of managed hosting services which includes cPanel hosting, windows hosting, Linux and Windows Resellers, VPS Hosting, Semi-Dedicated Servers and Dedicated Hosting Servers with all important features such as 24x7 technical support, 99.95 % Uptime Guarantee included as standard.

    Web Host 123-reg Offers a Ghoulishly Good Domain Deal with dot.coms From £6.66 and dot.nets From £5.55

    With Halloween around the corner, leading website registrar 123-reg will be offering a devilishly wicked treat for those wanting to register a dot com domain name – and don’t worry this treat comes without a trick!

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    About 123-reg

    123-reg is one of the UK´s top registrars, registering every fifth .co.uk domain. It leads the market in both domain name registration (2.4 million domains) and web hosting solutions. With extensive experience of the industry, the company is able to offer high quality, technically advanced yet cost-effective products to a wide range of customers. 123-reg received Best Domain Registration in Host Review’s “Best of the Best” Small Business Service Providers awards in 2008.

    Web Hosting Provider Host Color Cut the Prices of Web Hosting With 25%

    Host Color a global provider of quality Shared Hosting, VPS and Dedicated Servers announced the release of coupon code - BETTERWEBSITE. It gives the company's customers 25% instant savings on all Shared web hosting plans.

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    Intel Celeron 420

    This is a full review of the Intel Celeron 420. In this article, I will fully examine all aspects of this CPU, including its features and performance. There will also be a thorough analysis of the testing that I performed comparing this CPU to the E2140.

    There are single cores, dual cores, quad cores and soon to be tricore processors. We have them available at all kinds of speeds and cache amounts. So how do you know what is best for you? It's impossible to say that this is the CPU for you without seeing what you plan to do with your computer. The quad core will surely run everything that you need, but is it too much for what you want to do? Is dual core enough or too much?

    Well until now, I haven't had the chance to play with a single core processor since the old Celeron processors back on the Socket 478. A lot has changed since then and I feel that it is worth it to look at another one. Our last one overclocked very well and kept up with the Pentium 4 CPU. This time the Celeron has to try to keep up with less cache and less cores, but also run at the same speed. We will see, after some benchmarks, whether the Celeron can still keep up with its bigger counterparts.

    The Celeron 420 is the beginning and end of this generation of CPUs. It will be the last single core CPU planned from Intel. After this, it's all dual cores or more, even for the Celeron bargain bin CPUs. It will be interesting to see how the dual core Celeron CPUs hold up; I hope to get a chance to test one of these when they come out.

    It also marks the beginning of the Celeron CPU using the Core architecture. This alone should be a great step forward and provide a great performance gain over previous Celerons. The Netburst architecture is officially a thing of the past for Intel.

    Intel Atom

    Intel's Atom chip is designed for a brand new market. But Intel already has excellent market saturation in the microprocessor arena for desktops, notebooks, and more; why mess with something that works? And will this new chip deliver where it counts? Read on to find out.

    Intel has a broad range of products. Anything from the top of the line Extreme Edition quad core, down to a single Celeron. They have desktop chips, server chips, and mobile chips. You might think that there isn't any other market for Intel to get into. Well you are wrong.

    Technology is constantly changing, and new devices are always coming around. In the past year a completely new type of computer has come around, the Ultra Mobile PC. Intel has recognized this new market; it's come out with a CPU designed specifically for UMPCs, the Intel Atom CPU.

    What about XScale?

    If you ever owned a PocketPC, PDA, MP3 player, Personal Video Player, or iPod, I'm sure you have heard of the XScale CPU. The Xscale CPU was made by Intel until 2006 when they sold that lineup. If Intel had a CPU made for mobile devices, why would they sell it, and then start over again? Intel said they were giving up on the XScale so they could focus on x86 chips such as desktop, mobile and server CPUs.

    The biggest difference between the Xscale and Atom is that the Xscale is meant for handheld devices, and the Atom is a full-fledged x86 CPU, meaning it has the ability to run software just like a normal PC; it can even run Windows. The XScale processors do not have the x86 instructions; they use the ARM architecture.

    It's not a big deal for mobile devices, since most are home grown by the manufacturer. But if you throw an XScale into a typical PC, it won't even boot up. The Xscale is a great CPU for handheld devices such as MP3 players; the OS of the device is typically home-programmed, so they are fine with using ARM architecture.

    UMPCs, on the other hand, run native x86 instructions, such as those needed to run Windows. In this case, the ARM architecture isn't going to fly. I don't think you're going to get Microsoft to rebuild Windows for Xscale CPUs, plus the fastest are running around 600 MHz, so XP would be a push to run.

    Intel Nehalem

    Intel's Nehalem processor just might be the nail in the coffin for AMD. Released late last year, the architecture brings some tremendous changes to the microprocessor world. Keep reading to find out why it's a whole new game now.

    If you have a computer, you have to have heard about Intel. Chances are that you have an Intel processor in your computer right now. They are the biggest producer of PC CPUs in the world. I'm sure you have also heard of their biggest competitor, AMD. These two companies are both in a battle for the best CPU.

    Intel has recently taken the title of the fastest CPU with the Core 2 Duo series after letting the Pentium 4 line last too long. AMD has had some really hard years recently, and doesn't look to have any better platforms coming soon. If this isn't bad enough, Intel released a Core 2 Duo killer in November. Intel's code name Nehalem CPU is set to smash some records and kick some butt.


    Nehalem promises to be the biggest change in architecture since the Pentium Pro. These are some serious improvements we're talking about, and the last generation wasn't bad at all, so Intel has to have some major technology behind this core.

    To start off with, Nehalem is built on the same manufacturing process as the current generation, 45nm. It sports two, four, and eight cores. The quad core version has 731 million transistors. The standard die is native quad core, meaning a dual core has two cores disabled and the octacore is two dies together. This is pretty standard for Intel in their CPU manufacturing.

    The CPU has 32 KB L1 instruction and 32 KB L1 data cache per core. You're looking at 256KB per core for L2 cache, and 2-3 MB per core for L3 cache. It seems a little low for Intel, but we are dealing with more cores then typical, and getting more cache will cause the CPU to be huge.

    Intel also brought back a hyper-threading type of technology. It is said to be changed and shows a noticeable performance increase compared to Hyper-threading. This looks like a great CPU, and we haven't even covered the biggest changes yet.

    Intel`s Ultra-Quick i5 and i7 Processors Available in Dell Desktops

    Laptops today have more computing power than ever before. This is especially true now that Intel has released their new Core i5 and i7 800 series processors. In this article we'll take a closer look at these fast chips and the dream machines from Dell that include them.

    This marks the first time Intel’s flagship CPU microarchitecture, which has been codenamed Nehalem, has trickled down and made its way into the mainstream. Nehalem first made its debut in desktop form utilizing the Core i7 line of processors. Since then, it has basically dominated the performance segment of the market.

    Simply put, these are the fastest desktop processors currently on the market, and it seems as if consumers know it, because sales are through the roof. We’ll get to desktops in a moment, though. First, let’s find out more about these incredibly fast processors.

    Codename: Lynnfield & Bloomfield

    Both the Lynnfield and Bloomfield processors have special features that will greatly impact a user’s PC experience. But wait, what are the Lynnfield and Bloomfield processors? Just keep this in mind from here on out: Lynnfield refers to the new Core i5 and i7 processors that use dual channel memory. Bloomfield refers to the current Core i7 processors that use triple channel memory. Many in the blogosphere predicted that the Lynnfield processor would be far more popular than the Bloomfield because it’s thought to be the much faster, more capable processor, but we’ll have to wait and see.

    Aside from the obvious physical differences between Lynnfield and Bloomfield (the Lynnfield is about a quarter inch smaller in size compared to the Bloomfield Core i7), they also have different features to offer the consumer. For example, Lynnfield features an on-die PCI express controller. This enables it to cut down on GPU communication latencies, which was a major design issue previously. It’s hard to say for sure this early in the game, but this feature may have been included for future support of video cards, though Intel’s remaining quiet on the issue.

    According to Intel, here’s how their Lynnfield series of processors specifically break down:

    Intel Core i7-800 processor series

    • Intel Hyper-Threading Technology delivers 8-threaded performance on 4 cores

    • Intel Turbo Boost Technology

    • 8M Intel Smart Cache

    • Integrated Memory Controller with support for 2 channels of DDR3 1333 memory

    • PCI Express 2.0 discrete graphics flexibility for multiple graphics card configurations

    • Socket LGA 1156

    Intel Core i5-700 processor series

    • Intel Turbo Boost Technology

    • 8M Intel Smart Cache

    • Integrated Memory Controller with support for 2 channels of DDR3 1333 memory

    • PCI Express 2.0 discrete graphics flexibility for multiple graphics card configurations

    • Socket LGA 1156

    Intel’s new processors are also accompanied by a new P55 Express chipset, which comes jam-packed with new changes and features. As previously mentioned, the new Core i5 and i7 processors are based on Nehalem and share similar cores, but Intel has also changed the integrated memory controller configuration, brought PCI Express connectivity on-die, and overhauled their Turbo Mode functionality to offer increased performance and speed, depending on the app being used.

    So, what good are these processors to the average user? Chances are a majority of us aren’t going to replace our PC’s already-existing motherboard with a P55-based motherboard. We may, however, be interested in some new Dell desktops that utilize Intel’s processing power. Let’s take a look at the Studio XPS 8000 and 9000.

    Friday, November 6, 2009

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    EURUSD: Trades Above The 1.4844 level.

    EURUSD- The pair remains hesitant giving back its intra day losses to test a high of 1.4917 before closing marginally higher at 1.4876 on Thursday. Though currently trading above its key resistance at the 1.4844 level, a firm hold above there is required to signal further upside strength. Potential for additional higher prices exist towards its Oct 27’09 high at 1.4926 with a loss of that level extending upside gains towards the 1.5000 level, its psycho level and then its YTD high at 1.5062. Beyond there will trigger the resumption of its medium term uptrend now on hold. Its daily stoch remains supportive of this view. On a failure above the 1.4844 level, downside pressure should shape towards the 1.4625 level ahead of its MT rising trendline currently at 1.4593 where we expect a cap. However, if that fails to materialize, price acceleration could develop towards the 1.4479 level, its Oct 02’09 low. On the whole, EUR must maintain above the 1.4844 level to reduce its corrective downside pressure and bring gains towards the 1.4926 and then 1.5000 levels.

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    Euro / Dollar Technical Forex Analysis for Forex Traders

    The Euro broke short-term support 1.4744 and successfully reached the first suggested target 1.4649. But the point where yesterday's drop stopped, uncovered a very harmonized channel, and price has touched its lines a whole 7 times. Yesterday's low was exactly at the bottom of that channel, as the attached chart shows (hourly chart). We will monitor this channel to try and specify the direction, and we strongly believe that if this channel is broken to the downside, the medium-term price direction will be in a downtrend.

    The bottom of the channel is currently at 1.4649 which makes this level the most important support for the short-term. On the other hand, resistance congregate its power in one important area, where we find the falling trendline from 1.5061, the moving average SMA100, and Fibonacci 61.8% for the short-term at 1.4762 (calculated for the 5 waves dropping from 1.4843 to the orthodox bottom 1.4631 and not the price bottom 1.4625), which clearly makes this area the most important of all resistance levels. A break of the 1.4649support will put the Euro under pressure and that would push it lower to 1.4559, then the important bottom 1.4480, and later to 1.4404. While a break of the resistance 1.4762 ill givethe Euro a chance to catch a break and to correct upwards towards 1.4846 and may be 1.4897.


    • 1.4649: the bottom of the coordinated channel on the hourly chart, and the most important support for medium-term.

    • 1.4559: Fibonacci 38.2% for medium-term.

    • 1.4480: Oct 2nd low.


    • 1.4762: important resistance area combining Fibonacci 61.8% for the short-term, the moving average SMA100, and the falling trendline from 1.5061..

    • 1.4846: Fibonacci 50% for the drop 1.5061.

    • 1.4897: Fibonacci 61.8% for the drop 1.5061.

    Russian BIN Bank to place RUB3bn bonds

    Russian BIN Bank considers placing two bonds worth a total RUB3bn(USD103.4m/EUR69.5m), which will help it boost its ruble-denominated loans provision to corporate clients, the bank said today.

    The RUB1bn and RUB2bn bond issues will be offered publicly on the Moscow Interbank Currency Exchange (MICEX) and will not bear an option for early redemption.

    The Russian bank will serve as the issue's organiser itself and will not hire a financial consultant.

    BIN Bank expects that the bonds will be included in the Central Bank of Russia's (CBR) Lombard list, which features securities that may be used as collateral for CBR loans.

    PTA Bank Lists Bond On the Bourse

    THE PTA Bank has listed a 7-year corporate bond on the fixed income securities market segment of the bourse.

    The bank in October offered the first tranche of a sh40b seven-year unsecured floating and fixed-rate note programme.

    The bond has a 14% fixed rate and a floating interest rate valued at 1.25% above the 182-day government Treasury Bill rate.

    The bank said it raised sh8.5b in the first tranche in an exercise that will span over 12 months.

    Michael Gondwe, the PTA Bank president, said the bank would be returning to the market for the remaining tranches next year.

    He said the amount raised would provide long-term finance for projects in agriculture, housing and the manufacturing sectors.

    "We have projects in the pipeline worth $50m which will be closed in the near future. The funds will finance these projects with underlying local currency loans to avoid foreign exchange risks associated with international lending," Gondwe said during the listing.

    The PTA bond comes on the heels of other capital- raising exercises that saw a sh30b Stanbic Bank bond, sh30b Housing Finance Bank bond and the $100m MTN syndicated loan.

    Gondwe said the bank had financed projects worth $129m in the different sectors in the economy.

    He said the bank's authorised capital stands at $2b, making it the most capitalised bank in the region.

    Alex Gitari, director of finance at PTA Bank, said his institution would alleviate the shortage of long-term finance.

    "While shortage of financing is an issue, from banking side, there is a shortage of critical ideas that can be financed. Some of our entrepreneurs have ideas that are vague, but don't develop them to a stage where funding can be attracted. We are looking for business ideas that can be funded," he said.

    He was optimistic that PTA will raise the money over the stipulated 12-month period.

    "Our note is structured by way of a programme and it will run for 12 months, so irrespective of what happens, we have a whole 12 months within which to realise our objectives. The timing is ideal and we are confident we will raise all the money."

    Monday, November 2, 2009

    UK at a Glance-UK Stocks

    Britain's FTSE 100 index is seen opening 15-18 points lower, or down as much as 0.4 percent on Monday, extending Friday's falls following a hefty pre-weekend sell-off on Wall Street and declines in Asia, signs investors are losing faith in the economic recovery. The UK blue chip index closed 93.17 points or 1.8 percent lower on Friday at 5,044.55, and notched up its largest weekly fall, at 3.8 percent, since March. The benchmark index fell 1.7 percent overall in October, the first monthly drop since June but is still up about 46 percent since its March low. Investors will be focused ahead this week to the latest Bank of England Monetary Policy Committee meeting, decisions from which are due on Thursday, with no change to UK interest rates expected but an increase in the bank's quantitative easing policy anticipated. Data released overnight showed British house prices fell at their slowest annual rate since June 2008 in October, dropping 4.2 percent, due to an ongoing lack of housing for sale after the credit crunch, property data company Hometrack said on Monday. The other domestic data focus on Monday will be on October's CIPS manufacturing PMI report, with a reading of 50.0 forecast, up from 49.5 in September. Meanwhile, the U.S. ISM report for October, plus September pending homes sales and construction spending numbers should attract attention in the afternoon. HSBC's China Purchasing Managers' Index (PMI) rose to an 18-month high in October of 55.4 from 55.0 in September, pointing to sustained strength in the country's fast manufacturing sector. The banking sector will be in the spotlight after CIT Group, a U.S. lender to hundreds of thousands of small and medium-sized businesses, filed for bankruptcy on Sunday, as the global financial crisis left it unable to fund itself and the recession hit its loans. * GLOBAL MARKETS-Asia share drop limited after Wall St hit * US STOCKS-Wall St tumbles on recovery jitters, financials * Nikkei at 3-week closing low, consumer lenders up * FOREX-Yen cuts earlier gains as it slides vs Aussie * TREASURIES-Slip in Asia, U.S. manufacturing data eyed * Oil rebounds above $77, China PMI data supports * PRECIOUS-Gold steadies above $1,040/oz, ETF holdings dip * METALS-Shanghai copper opens 1.6 pct lower, chases LME UK stocks to watch on Monday are: LLOYDS BANKING GROUP The bank will attempt to raise 7.5 billion pounds ($12.3 billion) capital by offering existing bond holders the chance to exchange their bonds for riskier but higher yielding investments that could convert into equity, the Financial Times said on Monday. Also, the British Treasury will not allow Lloyds Banking Group to break its promise to lend an extra 14 billion pounds to homes and businesses, which the bank said it would do when it joined the government's asset protection scheme, The Observer said. ROYAL BANK OF SCOTLAND The UK government will unveil plans this week to spend 30 billion pounds ($49.3 billion) buying further shares of rescued banks Royal Bank of Scotland and Lloyds, The Daily Telegraph newspaper reported on Monday. Also, RBS may have to accept significant cutbacks in its investment banking division if the bank stands by its desire to keep U.S. retail bank Citizens, the Daily Telegraph added. BARCLAYS Barclays is pursuing aggressive expansion of its retail and investment banking operations in Russia as the investment climate improves in the region, The Independent said on Monday. RIO TINTO Rio Tinto, the world's second-largest iron ore miner, said Chinese demand for iron ore remains strong and major producers are unlikely to meet all the demand. CADBURY Kraft looks set to make a formal offer for Cadbury as a result of improved third-quarter earnings, but analysts believe it will not improve on its indicative 10.2 billion pound cash and paper bid of 745p a share, the Daily elegraph said on Monday. CABLE & WIRELESS Plans to demerge Cable & Wireless are being hindered by disagreements over bonus payments. Its international division wants to delay the move because if there is no significant increase in its share price, its members will miss out on an estimated 30 million pounds, The Daily Telegraph said on Monday. BRITISH AIRWAYS Cabin crew workers at the airline are to hold a mass meeting on Tuesday to discuss new employment contracts they think are "unfair and unworkable", The Guardian said on Monday. BAE SYSYTEMS BAE will bid this week for the first stage of a 4 billion pound ($6.6 billion) contract to build armored reconnaissance vehicles for the British army, the company said on Sunday. NATIONAL EXPRESS The Cosmen family has denied a report in the Mail on Sunday that Jorge Cosmen, deputy chairman of National Express, is set to resign. RYANAIR The Irish airline Ryanair posted an 80 percent rise in first-half profit and said on Monday it could reverse its long-standing strategy of rapid growth and distribute cash to shareholders instead. GLAXOSMITHKLINE According to analysts, GlaxoSmithKline may seek to expand in India or China as it takes its acquisition strategy to emerging markets, the Mail on Sunday said. RANK GROUP The chief executive of Rank Group, Ian Burke, has written to the Treasury appealing for changes to gambling tax, requesting the newly raised bingo tax be cut from 22 percent to 15 percent and that poker games should be taxed less stringently than casino games, the Mail on Sunday said. QUINTAIN ESTATES The real estate developer will announce plans this week to raise up to 180 million pounds ($298 million) of fresh funds, the Sunday Times reported. CHLORIDE GROUP The power protection firm posts first-half results. TELECITY The data centre operator issues a trading update

    Croatia - Factors To Watch on November 2

    Following are the main news stories, press reports and events to watch which may affect Croatia's financial markets on Monday. ZAGREB - Central bank to release September money supply and currency reserves. PRESS DIGEST ------------ NUMBER OF LOCAL GOVERNMENT EMPLOYES RAPIDLY GROWS The number of employees in local self-governments rose as much as 80 percent in the past ten years, amounting to some 70,000 people. The government could cut this figure by at least 14,000 people, as part of a local self-government reform, without reducing work efficency and service quality, economic analysts said. Jutarnji list, page 18 INA GROUP POSTS 167 MLN KN NINE-MONTH LOSS Oil concern Ina posted a 167 million kuna net loss in first nine months, significantly down from the same period in 2009, when it achieved a net profit of 356 million kuna. Jutarnji list, page 18 POLL: MOST CITIZENS SUPPORT SDP'S PRESIDENTIAL CANDIDATES If presidential election were held now, 24.6 percent of citizens would vote for Ivo Josipovic, official candidate of the main opposition party, Social Democrats, while Milan Bandic, mayor of Zagreb and also a Social Democrat, would get 17.6 percent of votes. Third position is currently held by an independent candidate, Nadan Vidosevic. Jutarnji list, page 4 CATHOLIC CHURCH OPPOSES ARBITRATION AGREEMENT WITH SLOVENIA Although a large part of the public and politicians believe Croatia's EU entry outweighs potential risks that a border arbitration agreement with Slovenia might bring, Catholic Church officials have urged the government not to adopt the agreement, saying it was vague and might result in loss of Croatian territory. Vecernji list, page 6 Reuters has not verified the media reports, nor does it vouch for their accuracy.

    China shares gain on solid earnings, data; HK slips

    China's key stock index rose 2.7 percent on Monday, its biggest one-day gain in more than three weeks, as solid earnings and upbeat manufacturing data powered a sharp rebound from early weakness. But the Nasdaq-style ChiNext market for start-up stocks, which began trade last Friday with a speculative surge, was broadly weaker as profit taking sent about two-thirds of its 28 stocks down by their 10 percent daily limit. In Hong Kong, shares narrowed losses as gains in China encouraged some bargain hunting, but exporter Li & Fung slumped on gloomy U.S. consumer sentiment. The Shanghai Composite Index ended at 3,076.649 points after sliding as far as 2,923.525, a nearly three-week intraday low, and below the closely watched 125-day moving average now at 2,940 points. Gaining Shanghai A shares overwhelmed losers by 880 to 17, while turnover picked up to a one-week high of 154 billion yuan ($22.55 billion) from Friday's 117 billion yuan. "The market is apparently being propelled by strong thrid-quarter earnings, with banks outperforming for that reason," said Zhang Qi, senior analyst at Haitong Securities in Shanghai. "But with negative factors looming, such as weak overseas markets, the market is not likely to stage a steady rally but will rise gradually amid volatility." Shenzhen Development Bank jumped by its 10 percent daily limit to 24.73 yuan, while Ping An Insurance advanced 6.7 percent to 59.71 yuan. The market earlier tracked losses in New York stocks, which on Friday posted their biggest one-day fall since July, but investors shifted their focus to the recovering Chinese economy. HSBC's China Purchasing Managers' Index (PMI) for October, released in the morning, rose to an 18-month high of 55.4 from 55.0 in September, underscoring the strength of the manufacturing sector. The official PMI, released on Sunday, rose to an 18-month high of 55.2 in October from 54.3. Auto shares rose, cheered by upbeat results. Chongqing Changan Auto gained 7.43 percent to 14.02 yuan after reporting a 145 percent rise in net profit. SAIC Motor Corp, China's largest carmaker, advanced 6.29 percent to 24.68 yuan after reporting a ninefold jump in its third-quarter net profit. Health-related shares rose after Premier Wen Jiabao warned about the spread of H1N1 influenza. Shenzhen Neptunus Bioengineering advanced by its 10 percent daily limit to 20.35 yuan. Companies that may benefit from a proposed Walt Disney Co theme park in Shanghai outperformed after Shanghai Mayor Han Zheng said over the weekend that the city would soon hold a news briefing on the project. Shanghai Lujiazui Finance & Trade Zone Development rose 8.94 percent to 30.47 yuan. Shanghai Jielong Group Industry climbed by its 10 percent daily limit to 18.57 yuan. HONG KONG NARROWS LOSSES The benchmark Hang Seng Index ended down 0.61 percent or 132.68 points at 21,620.19, after losing 2.57 percent at the opening. Turnover was HK$65.12 billion ($8.4 billion), down from Friday's HK$76.35 billion. "Hong Kong is drawing strength from the recovery in the Chinese market, which eased selling pressure stemming from weak sentiment in the U.S.," said Castor Pang, research director at Cinda International. Li & Fung declined 3.65 percent and Esprit Holdings lost 1.62 percent, as U.S. consumers' gloomy economic outlook weighed on exporters. Local developers Sino Land fell 2.39 percent and New World Development slipped 1.88 percent. Chief Executive Donald Tsang told businessmen on Monday that the government wanted to avoid a property bubble. Chinese offshore oil and gas producer CNOOC Ltd shed 1.16 percent, after sliding as low as 3.33 percent, on easing crude oil prices. PetroChina shed 1.25 percent. Chinese property developer Yuzhou Property recouped some losses and ended down 0.7 percent at its trading debut in Hong Kong. The stock ended the midday session 4.8 percent lower. The China Enterprise Index of top locally listed mainland Chinese stocks was down 0.22 percent at 12,741.88. It opened down 2.82 percent. Bucking the trend, Tencent Holdings, which operates popular online games in China, rose 4.38 pecent. Credit Suisse raised its target price to HK$153.60 from HK$131.60 and kept its "outperform" rating. Nine Dragons was up 3.87 percent. The packaging and papermaker's plan to use proceeds from the sale of new shares to pay off debt would help lift profit, analysts said. Chinese ingot and wafer maker Comtec Solar, which debuted in Hong Kong on Friday, extended its fall, down 8.59 percent. The stock closed 5.7 percent lower on Friday on concerns that demand for its products would remain weak. (Editing by Chris Lewis) ((jun.ebias@thomsonreuters.com; +852 2843 6537; Reuters Messaging: jun.ebias.reuters.com@reuters.net)) ASIA-PACIFIC STOCK MARKETS: Pan-Asia...... Japan........ S.Korea.... S.E.

    Asia............ Hong Kong... Taiwan..... Australia/NZ......... India....... China...... OTHER MARKETS: Wall Street........... Gold.........

    Currency.. Eurostocks........... Oil........... JP bonds... ADR Report.......... LME metals.. US bonds... Stocks News US... Stocks News Europe... DIARIES & DATA: IPO diary & data Asia earnings diary U.S.

    Sunday, November 1, 2009

    Moody’s, Central Bankers Concerned With Banks

    As the FDIC continues shuttering U.S. banks, ominous signals are coming from Central Banks around the world and from Moody’s Investor Services. The timely release of this information seems to support the legislative reform proposed by Representative Barney Frank on Tuesday.

    On Monday, Moody’s released a report that loan charge-offs suffered by U.S. banks are greater than those endured during the early years of the Great Depression. During 2009, uncollectable loans have topped $116 billion or 2.9% of all outstanding loans. As unemployment numbers continue to mount, loans failures will continue to rise. Today, the Labor Department announced that another 520,000 Americans filed for new unemployment benefits last week.

    XE Forex Rates
    Mid-market rates at 2009-11-01 10:00 UTC. More currencies...
    United States Flag USD Euro Flag EUR Great Britain Flag GBP
    United States Flag 1 USD = 1.00000 0.67568 0.60532
    Inverse: 1.00000 1.48000 1.65201
    Euro Flag 1 EUR = 1.48000 1.00000 0.89588
    Inverse: 0.67568 1.00000 1.11622
    Great Britain Flag 1 GBP = 1.65201 1.11622 1.00000
    Inverse: 0.60532 0.89588 1.00000
    Japan Flag 1 JPY = 0.01110 0.00750 0.00672
    Inverse: 90.08000 133.31840 148.81280
    Canada Flag 1 CAD = 0.92200 0.62297 0.55811
    Inverse: 1.08460 1.60521 1.79177
    Australia Flag 1 AUD = 0.91610 0.61899 0.55454
    Inverse: 1.09158 1.61555 1.80331
    Switzerland Flag 1 CHF = 0.97466 0.65855 0.58998
    Inverse: 1.02600 1.51848 1.69496
    Russian Federation Flag 1 RUB = 0.03442 0.02326 0.02084
    Inverse: 29.04887 42.99232 47.98893
    China Flag 1 CNY = 0.14647 0.09897 0.08866
    Inverse: 6.82740 10.10455 11.27891
    South Africa Flag 1 ZAR = 0.12970 0.08764 0.07851
    Inverse: 7.71003 11.41084 12.73702
    México Flag 1 MXN = 0.07606 0.05139 0.04604
    Inverse: 13.14789 19.45888 21.72041

    China's CNOOC in new discovery in Bohai Bay-Xinhua

    China's offshore oil and gas specialist CNOOC Ltd has made a new oil find in Bohai Bay offshore north China, official Xinhua News Agency reported on Sunday.

    Qinghuangdao 35-4-3, at a depth of about 26 metres, was pumping some 1,700 barrels of crude oil and more than 100,000 cubic metres of natural gas a day, the report said.

    CNOOC sank the well some 2,215 metres deep and hit an oil-bearing layer 21.4 metres thick, Xinhua said.

    The company said in its third-quarter earnings report last week that it had drilled a successful appraisal well in Qinghuangdao 35-4-2, without giving details.

    China to keep loose monetary policy - cenbank

    China's economy is at a critical juncture of stabilization and recovery and the country will continue to implement active fiscal policy and loose monetary policy, Li Dongrong, an assistant governor at the central bank,

    said on Sunday.

    'China's economy is at a critical juncture of stabilisation and recovery,' he told a financial forum in Kuwait. 'Based on this judgement, we will continue to implement active fiscal policy (and) loose monetary policy.'

    Market Moving News EUR/USD

    Eur/usd - 1.4752 ... German unemployment fell unexpectedly by 26,000 m/m in October (forecast was 20,000 increase), however, the unemployment rate decreased to 8.1% fm 8.2%. The EU's Monetary n Economic Affairs Commissioner Joaquin Almunia said the European economy wud suffer if monetary stimulus measures are withdrawn by central banks b4 fiscal stimulus programmes has had time to take sufficient effect. The single currency rebounded to 1.4760 on short-covering in European session n bids are located at 1.4725/30 n 1.4705 with some stops seen below 1.4680. On the upside, selling interest is tipped at 1.4770/80, 1.4800 n further out at 1.4820/30.

    U.S. Dollar Posts Strong Gain Ahead of Next Week's Major Reports

    The U.S. Dollar posted a strong gain after bearish economic reports Friday morning triggered a massive sell-off in U.S. equity markets. Investors were encouraged to dump higher yielding assets for the safe haven Greenback. Two different reports indicated a drop in consumer spending and sentiment. U.S. Personal Income was flat but Personal Spending indicated that consumers are still paying off debt and saving their money. The drop in the Michigan Sentiment showed that consumers are still uncertain about the economy mainly because of fear of losing their jobs.

    All of the currencies that moved higher on the bullish U.S. Third Quarter GDP Report on Thursday gave back their gains. Some even exceeded Thursday's lows as selling momentum was strong all day. This reaction the day after the GDP Report proves that investors have put this report behind them and are now looking at the future of the economy. Friday's reaction shows that investors are worried that without government and Fed stimulus, the road to recovery will be rough.

    Next week investors will have to deal with a Fed FOMC meeting and the Non-Farm Payrolls Report. Investors expect the Fed to change the language of its statement to indicate that a hike in interest rates may be coming sooner than expected. The Non-Farm Payrolls Report should show an increase in jobs lost and an unemployment figure close to 10%. A worse than expected report will make investors question whether the economic expansion during the 4th Quarter will be able to meet the 3rd Quarter number.

    The EUR USD finished the week lower after posting a new high for the year on Monday. This closing price reversal formation indicates the start of a 2 to 3 week break. The GBP USD finished the week on the downside after showing strength earlier in the week. Traders are speculating that the Bank of England may increase or extend its asset purchase program. Earlier in the month it was reported that the U.K. economy had contracted. The stronger Dollar and weaker gold put pressure on the Swiss Franc all week. The USD CHF has been strong since it was reported that the Swiss inflation rate rose within target.

    The USD JPY finished lower for the week as a shift in market direction caused Japanese investors to repatriate funds. Late in the week it was announced that the Bank of Japan will end its corporate bond buyback program. This sent a message to investors that the BoJ is getting ready to end its stimulus program. The sell-off in the USD JPY changed the trend to down on the daily chart. Downside momentum indicates that this market may see a retest of 88.00 over the near-term.

    Commodity currencies finished the week lower as demand for higher yielding assets fell sharply when the Dollar rallied. The AUD USD changed the trend to down on the daily chart while downside momentum is indicating further weakness should be expected. A weaker than expected Aussie inflation number took the wind out of the recent rally early in the week as it sent a message that the Reserve Bank of Australia would not hike rates by 50 bp as speculated. Traders who had been bidding up this market in anticipation of an aggressive rate hike were forced to pare back their positions.

    The NZD USD at first weakened in sympathy with the Aussie Dollar, but drew selling pressure of its own when the Reserve Bank of New Zealand decided to leave interest rates unchanged. In addition, it said in its statement that interest rates are not likely to rise until mid-2010. The drop in commodity prices this week also contributed to the weakness as it indicated that New Zealand exports may be down during the 4th quarter.

    Weaker equity and crude oil prices helped contribute to the strong surge in the USD CAD. For weeks the Bank of Canada had been talking the Canadian Dollar down. It feared that a strong Canadian Dollar would be detrimental to the economic recovery. The combination of the "verbal intervention" and lower demand for higher risk assets should continue to support the strong rally in the USD CAD next week.

    Please do not hesitate to contact us at 1-800-971-2440, with any questions.

    DISCLAIMER: Forex (off-exchange foreign currency futures and options or FX) trading involves substantial risk of loss and is not suitable for every investor. The value of currencies may fluctuate and investors may lose all or more than their original investments. Risks also include, but are not limited to, the potential for changing political and/or economic conditions that may substantially affect the price and/or liquidity of a currency. The impact of seasonal and geopolitical events is already factored into market prices. Prices in the underlying cash or physical markets do not necessarily move in tandem with futures and options prices. The leveraged nature of FX trading means that any market movement will have an equally proportional effect on your deposited funds and such may work against you as well as for you. In no event should the content of this correspondence be construed as an express or implied promise or guarantee from Brewer FX, LLC and Brewer Investment Group, LLC or its subsidiaries and/or affiliates that you will profit or that losses can or will be limited in any manner whatsoever. Loss-limiting strategies such as stop loss orders may not be effective because market conditions may make it impossible to execute such orders. Likewise, strategies using combinations of positions such as "spread" or "straddle" trades may be just as risky as simple long and short positions. Past results are no indication of future performance. Information contained in this correspondence is intended for informational purposes only and was obtained from sources believed to be reliable. Information is in no way guaranteed. No guarantee of any kind is implied or possible where projections of future conditions are attempted.

    The Complete Forex Glossary

    Account History
    Listing of all transactions (trading and non-trading) completed for a given account.
    Accounting Currency
    Currency in which account deposit/withdrawal operations are denominated. Not to be confused with the currencies ultimately bought or sold with account funds.
    Accrual Swap
    An interest rate swap under which a counterparty pays a vanilla floating reference rate, usually three or six month LIBOR, and receives LIBOR plus a significant spread. Interest payments to this counterparty will only accrue on days when rates stay within a certain range dictated by preset upper and lower boundaries.
    Aggregate Demand
    Used loosely to describe all private and public sector demand for goods and services produced by a given country. In practice, it is interchangeable with Gross Domestic Product (GDP). Academic notions of aggregate demand make a distinction between short-term and long-term, and are modeled as a function of price levels.
    Aggregate Risk
    Can very depending on context, but generally defined as the amount of exposure a customer has to the (potential) movement of spot and forward rates.
    Aggregate Supply
    Measures the total volume of goods and services produced by a given economy. Generally speaking, an increase in demand should lead to an expansion of aggregate supply in the economy. In the event of a mismatch between aggregate supply and aggregate demand, prices would change (i.e. inflation/deflation) in order to return the economy to equilibrium.
    A trader that has committed to the existing price in the market.
    An archaic term used to describe the difference/premium between the official rate and the market rate.
    American Depositary Receipt (ADR)
    A vehicle which effectivelycenables American investors to own shares in foreign corporations. ADRS trade on exchanges like conventional securities. The sponsoring bank collects dividends, pays local taxes and converts them to dollars for distribution to American shareholders. It should be noted that ADRs are affected both by company performance and by changes in exchange rates.
    American Option
    An (currency) option which may be exercised at any time prior to expiration.
    Common term used to describe a currency increasing in value, as a result of market forces as opposed to official adjustment.
    The simultaneous purchase and sale of an equivalent security in different markets, with the goal of profiting from pricing inconsistencies. In the context of currency trading, arbitrage applies to a mismatch in paired exchange rates between three currencies (triangular arbitrage) or an inefficiency between identical securities listed in different markets that arises from exchange rate fluctuation.
    Dealer jargon used to quote the forward premium/discount. For example, "two-two around" would translate into 2 points on either side of the present spot value.
    Asset Allocation
    Investment practice that divides funds among different types of securities/vehicles/markets in order to achieve a return that is calibrated to an investor’s risk profile.
    Ask (Offer) Price
    The price at which specific currency or contract can be purchased. In practice, this can be understood as the number on the right side of the quote, which is usually the higher price. For example, in the quote EUR/USD 1.4122/26, the ask price is 1.4126; meaning you can buy one Euro for 1.4126 US dollars. Opposite to bid price.
    Association Cambiste International
    The worldwide affiliation of foreign exchange dealers that together make most of the market for forex trading.
    At Best
    An type of order to buy or sell at the best rate that is currently available in the market.
    At or Better
    A type of order to deal at or above (whichever is available) a given price.
    At Par Forward Spread
    Describes a scenario in which the forward price (for a given time period) is equivalent to the spot price.
    At the Price Stop-Loss Order
    A type of stop-loss order that must be executed at the requested price regardless of "market conditions."
    Describes an option whose strike/exercise price is equal to (or close to) the current market price of the underlying security.
    Sale of securities to the highest bidder(s). In finance, it is mainly used by governments for the allocation of foreign exchange and government paper, such as US Treasury Bills. Sometimes, auctions are conducted in terms of yield, rather than price.
    The correlation between changes in a single variable over different time periods. If a price is negatively autocorrelated, a move down in one period would suggest a move up in the next, and vice versa. If it were positively autocorrelated, a move down would suggest a move down in the following period as well, and vice versa.
    Average Rate Option
    A hedging tool where a series of spot rate fixings during the life of an option are used to calculate an average rate. If the average rate is below the strike price, then the bank must settle the difference with the customer. Otherwise, the the option expires worthless with no payment made. Average rate options are generally suited for those who need protection against adverse currency moves that still wish to retain full upside potential. Also known as an Asian Option.
    Slang term for the Australian dollar.
    Back Office
    The departments and processes related to the settlement of financial transactions.
    Back to Back
    Transaction where a loan is made in one currency against a loan denominated in another currency.
    Balance sheet
    Financial statement showing a company’s assets, liabilities, and shareholders’ equity on a given date.
    Balance of Payments
    A systematic record of the economic transactions during a given period for a country. Can refer to either current account (which takes trade into account), capital account, or a combination thereof. Prolonged balance of payment deficits theoretically lead to currency depreciation.
    Balance of Trade
    Calculated by subtracting imports from exports. A negative balance of trade (when imports exceed exports) is called a "deficit," while a positive balance is known as a "surplus." The balance of trade is inversely related to the difference between savings and investment.
    Bank of England
    Central Bank for the UK, whose actions directly weigh on the value of the Pound Sterling.
    Bank Line
    A Line of credit provided by a bank.
    Bank Notes
    Issued as legal tender; while they can sometimes be converted into currencies, they are generally excluded from the forex market.
    Bar Chart
    A chart type consisting of four points: high price and low price (represented by a vertical bar), opening price (represented by a small horizontal line to the left of the bar), and closing price (represented by small horizontal line to the right of the bar).
    Barrier Option
    A type of option whose value/survival depends on whether the underlying security.currency breaks a predetermined price level at any time during the life of the option. Depending on market conditions, it is variously referred to as Down and Out call/put, Down and in call/put, Up and out call/put, and/or Up and in call/put.
    Base Currency
    Currency in which the operating results of the bank or institution is reported.
    Difference between the cash price and futures price.
    Basis Convergence
    The process whereby the basis tends towards zero as the contract expiration date nears.
    Basis Point
    One per cent of one per cent. For example, 25 basis points is equal to .25%.
    Basis Price
    The price expressed in terms of yield-to-maturity or rate of return, rather than the actual unit price.
    Basis Trading
    The practice of taking opposing positions in the spot and futures markets with the goal of profiting from favorable changes between the two.
    Group of currencies (as opposed to one single currency) normally used to peg/manage the exchange rate of another currency.
    Bear Market
    While precise standards vary, refers generally to prolonged period of falling asset prices.
    Describes an an investor who believes that asset prices will fall.
    Bear Put Spread
    An options strategy that seeks to capitalize on a depreciating currency by buying a put option with a high strike price and selling one with a low strike price.
    Bid Price
    The price at which specific currency or contract can be sold. In practice, this can be understood as the number on the left side of the quote, which is usually the lower price. For example, in the quote EUR/USD 1.4122/26, the bid price is 1.4122; meaning you can sell one Euro for 1.4122 US dollars. Opposite of Ask/Offer price.
    Big Figure
    Refers to the first three digits of an exchange rate, such as the 2.30 in 2.3025. The big figure is often omitted in dealer quotes, such that a quote of "25/30" on dollar mark would indicate a price of 2.3025/2.3030.
    Bilateral Clearing
    In a system of limited foreign currency, payments are usually routed through the central bank, which is also charged with clearing the balance of payments.
    Black-Scholes Model
    The most common option pricing formula, which is based on a set of ideal assumptions that pertain mostly to the underlying security/currency.
    Bollinger Bands
    Technical analysis tool used to measure the highness or lowness of the price relative to previous trades, consisting of three bands: middle band (simple moving average), upper band (given number of standard deviations above the middle band), and lower band (given number of standard deviations below the middle band)
    Summary of a (professional) trader’s total positions; may also include gains and losses.
    Refers to the location where the transaction is recorded, which may differ from the location/country of negotiation.
    Break Even Point
    The price at which the option buyer recovers the necessary premium paid, resulting in neither loss nor gain. With a call option, the break even point is simply the premium plus the strike price.
    Break of Which (BOW)
    Based on a series of predetermined levels, this describes the belief that if a price breaks a specific level, it will move towards the next level, and continue (upwards or downwards) if it then breaks through that level.
    Break Out
    Describes a technical scenario in which a currency/security is seen to have exited a pre-existing pattern, such as a range or other trend.
    Breakaway Gap
    Price gap that forms following breakout which often represents a (temporary) pricing inefficiency following a long period of consolidation.
    Bretton Woods
    1944 agreement that used the price of gold to fix exchange rates for major currencies. It was replaced in 1971 by a floating exchange rate system that remains in place today.
    Broken Dates/Period
    Describes deals involving non-standard periods.
    An agent who executes orders to buy and sell currencies either for a commission or based on a bid/ask spread. In the foreign exchange market, brokers essentially serve as intermediaries between banks. This commission is known as the brokerage fee.
    Bull Market
    While precise standards vary, refers generally to prolonged period of rising asset prices.
    Describes an an investor who believes that asset prices will rise.
    Bull Spread
    An options strategy that seeks to capitalize on a (moderate) rise in exchange rates, executed typically by buying a call option with a low strike price and selling one with a high strike price. Also known as Buying the Spread.
    Bonds issued in the UK by foreign institutions, denominated in British Pounds.
    Refers to gold bars, as opposed to coins or indirect ownership of gold.
    Bundesbank (BUBA)
    Central bank of Germany and most influential member of the European System of Central Banks (ESCB).
    Butterfly Spread
    An options strategy in which options with different expiration dates and strike prices are bought and sold simultaneously against each other.
    Refers to the buyer/holder of an option, who has the right
    but not the obligation, to purchase the underlying security.
    Refers to the Sterling/US Dollar exchange rate.
    Calendar Spread
    Options strategy which involves the purchase of futures/ options of an underlying market expiring in some named month, and the simultaneous sale of other futures/options of the same underlying market and the same striking price in a different month.
    Call Option
    Contract in which the buyer has the right
    but not the obligation
    to purchase a particular security for a given strike price, on (in the case of European call options) or before (in the case of American call options) the expiration date.
    To delete a previous order before it has been executed.
    Candlestick Chart
    Type of chart that uses shaded bars to indicate trading range (i.e. high and low price) as well as the opening and closing prices for consecutive time periods.
    Maximum rate of interest that can be charged under a loan. Opposite of a floor.
    Capacity Utilization
    Indicator of inflation released by the Federal Reserve Bank, which measures the percentage of available resources being utilized by factories, mines and utilities.
    Financial assets, or the financial value of assets such as cash.
    Capital Account
    One of two primary components of the balance of payments, the other being the current account. It is the net result of public and private international investment flowing in and out of a country, and includes foreign direct investment, portfolio investment, and other investments.
    Capital Gains
    Profit made when any asset is sold; used primarily for tax purposes.
    Carry Grid
    A detailed trading schematic designed to profit from a carry trading strategy.
    Carry Trade
    A trading strategy involving the sale of low-yielding currency (funding currency) in favor of a higher-yielding (carry currency) alternative, with the goal of earning a return on the spread/differential. [This differential is known as the "carry"].
    Cash on Deposit
    Total funds deposited in a trading account.
    Cash Market
    Spot market, as opposed to the futures market.
    Cash Transaction
    Same day settlement for a currency transaction. Also known as Value Today.
    Central Bank
    A governmental or quasi-governmental organization that conducts monetary policy and manages the exchange rate for a given economy and its currency. It may also be charged with printing money.
    Central Bank Intervention
    Refers to a central bank buying or selling its own currency on the spot market in order to bring about a desired exchange rate.
    Certificate of Deposit (CD)
    Time deposit offered by banks with a specific, fixed term (often three months, six months, or one to five years), and, usually, a fixed interest rate. It is intended that the CD be held until maturity, at which time the money may be withdrawn together with the accrued interest.
    Uptrend, downtrend, or sideways trend whose boundaries can be marked clearly by two or more straight lines. A break above/below the channel signals a possible change of trend.
    One who takes a technical approach to trading, relying on charts and graphs (and their associated indicators) to discern trends and predict future price movements.
    Chooser Option
    Type of option where the holder can choose whether the option is a call or a put during the life of the option.
    Clean Float
    Exchange rate regime in which the rate is determined only by market forces, with no central bank intervention.
    Cleared Funds
    Settled funds that are freely available for trading.
    Clearing House Automated Payment System (CHAPS)
    Forex settlement system used in the UK.
    Clearing House Interbank Payment System (CHIPS)
    International wire transfer system used by major banks.
    Closed Position
    The result of closing a position, in which an equal/offsetting trade is made to eliminate one’s exposure to a given currency pair. For example a position of 100 GPB/USD can be closed by buying 100 USD/GPB.
    Closing Market Rate
    The market rate at the end of the day.
    The process of settling a trade.
    CME Group
    The world’s largest futures exchange, which includes the Chicago Mercantile Exchange (CME), Chicago Board of Trade (CBOT), and New York Mercantile Exchange (NYMEX).
    Coincident Indicator
    A type of economic indicator that moves in line with the general business cycle. GDP is an example of a coincident indicator.
    Denotes the total number of derivative contracts, like futures and options, that are currently active on a specific underlying security. Also known as Open Interest.
    Compound Option
    An option, where the underlying instrument is another option. A compound option then has two expiration dates and two strike prices.
    The phenomenon whereby an economic crisis spreads from one region/economy/market to another.
    Asset used to secure a loan.
    Transaction fee charged by a broker.
    Commodity Futures Trading Commission (CFTC)
    Independent agency of the US government, charged with regulating commodity, currency, and financial futures and options.
    Written correspondence that details the terms of a given trade, including date/time of execution, quantity, price, and commission.
    Construction Spending
    Closely watched economic indicator released monthly by the U.S. Department of Commerce’ that benchmarks spending towards new construction.
    Consumer Confidence
    The degree of optimism that consumers feel about the overall state of the economy and their respective personal financial situations. Consumer Confidence is indexed and gauged using surveys, the most famous of which is conducted by the University of Michigan.
    Consumer Price Index (CPI)
    One of the most closely watched national economic statistics, CPI measures a price change for a constant market basket of goods and services from one period to the next within the same area.
    Refers to a an upward-sloping curve for forwards prices. For example, contango is said to occur when the future price of a commodity is higher than the current/spot price.
    Extension of the existing trend.
    Continuous Linked Settlement (CLS)
    System for settling foreign exchange transactions between major banks that purports to to eliminate settlement risk.
    Contract (Lot)
    Trading unit. A standard lot in the forex market is $100,000. A mini lot is $10,000.
    Contract for difference (CFD)
    Agreement between a client and a provider to exchange the difference between the opening and the closing value of the contract.
    Conversion Rate
    Another term for exchange rate.
    Convertible Currency
    Any currency that can be exchanged for another without special permission. Almost all of the world’s major currencies are fully convertible, with the notable exception of the Chinese Yuan.
    Secondary account holder.
    Slang term for the Danish Krone.
    Partial reversal in the existing trend, or a pullback after a sudden, large move to compensate for an overreaction.
    Measure of the degree to which changes in two variables/assets are related. The standard measure of correlation is the correlation coefficient, a number between -1 and one that indicates the strength and direction of a linear relationship between two variables. A correlation coefficient of -1 indicates that they are perfectly negatively correlated. A correlation coefficient of one means that they are perfectly correlated.
    Correspondent Bank
    Foreign bank that performs services for another bank that has no branch in the foreign location.
    Counter Currency
    Currency listed second in a Currency Pair. For example, in USD/GPB, Pound Sterling is the counter currency. Also known as Quote Currency.
    One of the participants in a financial transaction.
    Value of the counter currency in a forex trade. For example, in a trade involving the purchase of a currency against the US Dollar, the countervalue is the total USD amount of the transaction.
    Country Risk
    Refers to the likelihood that changes in the business environment adversely affect operating profits or the value of assets in a specific country. These changes could be the result of financial or political factors.
    A measure of how two random variables behave in relation to each other. It differs from correlation in that it incorporates measurements of the magnitude of the variations, as opposed to the correlation coefficient which is dimensionless.
    Cover on Approach
    Recommendation to close a trade based on a predicted approach off an important support level.
    Cover on a Bounce
    Recommendation to close a trade based on a predicted "bounce" off an important resistance level.
    Covered Call
    An options strategy in which the seller of call options owns the corresponding amount of the underlying instrument, such as shares of a stock or other securities.
    Crawling Peg
    A type of exchange rate regime in which the rate is fixed/pegged, but adjusted periodically.
    Credit Default Swap
    Financial contract in which the seller of risk pays a periodic fee on the notional amount of a reference obligation, in return for a payment in the event of default.
    Credit Risk
    Risk that a borrower will not repay a loan on time. Often referred to as "Default Risk."
    Credit Spread
    Interest margin over the relevant benchmark representing the additional interest paid by the issuer to account for the incremental risk of the issuer over the risk-free rate.
    Exchange rate derived by "triangulating" two separate exchange rates, used when two currencies cannot exchanged directly, but only through a third-party currency, such as the US Dollar. Also refers to any exchange rate/pair that does not include one’s home currency.
    Cup with Handle
    Technical pattern used to predict the beginning of an upward trend. A pattern that begins to curve upward and reaches the "cup line" is believed to indicate bullishness.
    Currency Basket
    Refers to a weighted group of currencies purchased together, usually by a Central Bank for the purpose of fixing an exchanging rate.
    Currency Symbol
    Three-Letter code used to abbreviate/designate a currency.
    Currency Pair
    Two currencies used to create an exchange rate.
    Currency Risk
    Possibility that currency depreciation will negatively affect the value of one’s assets, especially those denominated in foreign currency.
    Currency Swap
    Agreement between two parties to exchange principal and fixed rate interest payments on a loan in one currency for principal and fixed rate interest payments on an equal loan in another currency.
    Current Account
    One of the two primary components of the balance of payments, the other being the capital account. It is the sum of the balance of trade (exports minus imports of goods and services), net factor income (such as interest and dividends) and net transfer payments (such as foreign aid).
    Bank, individual, or other organization responsible for safeguarding an individual’s financial assets or specific account.
    Stocks/Securities that move with the economy, gaining if the economy booms and losing if the economy weakens.
    Daily Charts
    Charts that encapsulate daily price movements for a given currency pair.
    Daily Cut-Off
    The designated time of day chosen by a dealer to demarcate the end of one trading day and the beginning of the next, necessary because forex markets operate 24 hours per day.
    Day Order
    Buy or sell order that automatically expires at the end of the current trading day.
    Day Trading
    An approach to trading which involves entering and closing trades on the same day or trading session.
    Deal Blotter
    List of all transactions completed on a given trading day.
    Deal Ticket
    Dealer record of the basic details of a transaction, differing slightly from the statement received by the customer.
    Individual or firm that acts as a principal in a transaction. Principals take one side of a position, hoping to earn a spread (profit) by closing out the position in a subsequent trade with another party. In contrast to brokers, which serve as mere intermediaries, dealers are exposed to some risk.
    Failure of an issuer to make timely payments of both interest and principal when due.
    Describes an excess of liabilities over assets, of losses over profits, or of expenditure over income.
    An adjustment which turns nominal GDP into real GDP, by taking inflation into account.
    A decrease in the general price level of goods and services, whereby the inflation rate falls below zero percent, resulting in an increase in the real value of money.
    Refers to the (physical or electronic) exchange by buyer and seller of two given currencies.
    Rate of change of an option price with respect to changes in the underlying asset value.
    Demo Account
    Free forex practice account that allow beginners (or veterans) to measure the profits from hypothetical trades.
    Decline in the value of an asset, currency, or security.
    Depth of Market
    The volume of buy and sell orders waiting to be transacted for a particular currency pair at a particular point in time.
    The information necessary to execute a forex transaction, including currency pair, rate, time/date, and size.
    Financial instrument (forwards, futures, options, swaps) whose value is derived from an underlying security.
    Descending Triangles
    Trading pattern consisting of two or more comparable lows forming a horizontal line at the bottom. When support on the lower rung of the triangle is broken, it is believed to signal bearishness.
    Former currency of Germany, phased out (and replaced by the Euro) when Germany joined the European Union.
    A deliberate depreciation of a currency (relative to one or more other currencies), usually affected by the Central Bank.
    Direct Quote
    A quote that indicates variable units of domestic currency per fixed units of foreign currency.
    Dirty Float (Managed Float)
    Exchange rate regime in which the currency is not pegged outright, but is instead "managed" by the Central Bank with the professed goal of preventing wild fluctuations in the exchange rate.
    Discount Rate
    Interest rate that an eligible depository institution is charged to borrow short-term funds directly from the Federal Reserve Bank.
    Discount Spread
    Refers to the situation whereby the bid price of a forward spread rate is less than the ask price.
    Discretionary Account
    Type of account whereby a customer allows an institution to make trading decisions on his or her behalf.
    Slow-down in the inflation rate (i.e. when the inflation decreases, but still remains positive).
    Describes the phenomenon whereby a technical indicator and corresponding price chart don’t yield the same peaks/bottoms. It usually indicates trend "exhaustion."
    Diversified Carry Basket
    Type of trading strategy in which several carry trades are made/held simultaneously, in order to limit losses/risk from one particular carry trade position.
    Double Barrier Option
    A type of option incorporating two knock out or knock in levels, one either side of spot, used by participants that have strong views on both a support and a resistance level.
    Double Top and Bottom
    Trading pattern consisting of upper and lower limits that have been touched twice, but never breached. It is usually interpreted as a sign of uncertainty. However, when the currency breaks out of the range, the movement is expected to be significant.
    Dow Theory
    One of the ideas underpinning the field of technical analysis, positing that all major trends can be sub-divided into three phases: entrance, acceleration, and consolidation.
    A drop in the value of an account, calculated by subtracting the low from the peak.
    Dual Currency Service
    Foreign exchange instruments that let investors place funds into a product that speculates on the movement of the exchange rate between two major currencies.
    Dual Currency Swap
    Type of swap used to hedge dual currency bonds in which the issuer has the option to repay principal and coupon in either the base currency or an alternative currency at a pre-agreed exchange rate.
    Dual Exchange Rate
    Situation in which there is an official exchange rate and an parallel "black market" rate. Also known as Two-Tier Market.
    Durable Goods Orders
    Monthly government report which measures consumer spending on long-term purchases, products that are expected to last more than three years. It is designed to gauge the health of the manufacturing industry.
    Refers to the use of monetary policy to expand the money supply, either by lowering interest rates or through open market operations.
    A branch of economics which seeks to develop and apply quantitative or statistical methods to the study and elucidation of economic/financial principles.
    Economic Calendar
    Type of calendar that is intended to inform financiers and traders about the scheduled major economic indicators, government reports and speeches by influential people.
    Economic Indicator
    Statistic that seeks to proxy current economic growth and stability. Economic indicators fall into three categories: leading, lagging and coincident.
    Effective Exchange Rate
    Use of trade/current account balance to derive a country’s "fair" exchange rate
    Efficient Market Theory
    Notion that financial markets are "informationally efficient", or that prices on traded assets already reflect all known information and past prices, and instantly change to reflect new information.
    Electronic Funds Transfer.
    Elliot Wave Theory
    Principle that collective investor psychology (or crowd psychology) moves from optimism to pessimism and back again. These swings create patterns, as evidenced in the price movements of a market at every degree of trend, over durations that range from minutes to decades.
    While Bollinger Bands place boundary lines based on standard deviations, envelopes place lines at fixed percentage points above and below a moving average line, designating entry and exit points for trades.
    End of the Day (Mark to Market)
    Type of accounting process, whereby the value of asset(s) are recorded at the end of each trading day based on the closing rate/price.
    Price level/range that seems to represent a balance between demand and supply for a given currency pair.
    Escrow Account
    Segregated account which seeks to separate customer deposits from dealer operating funds.
    Official currency of 16 of the 27 member states of the European Union. The states, known collectively as the Eurozone, are Austria, Belgium, Cyprus, Finland, France, Germany, Greece, Ireland, Italy, Luxembourg, Malta, the Netherlands, Portugal, Slovakia, Slovenia, and Spain. The euro is the second largest reserve currency and the second most traded currency in the world after the US Dollar.
    Euro Interbank Offered Rate (Euribor)
    Rate at which euro interbank term deposits within the euro zone are offered by one prime bank to another prime bank.
    Bond in US dollars or other currency that is sold to investors who don’t reside in the country whose currency is used.
    Currency that is deposited in a financial institution located outside the region where the currency is primarily used.
    Eurodollar Bonds
    Type of Eurobond that pays both interest and principal in euros, whose most salient feature is that they are not regulated by the SEC.
    European Central Bank (ECB)
    Central Bank for the new European Monetary Union.
    European-style Option
    An option or covered warrant that may be exercised only on the date of expiration.
    European Union
    Economic and political union of 27 member states, located primarily in Western Europe.
    Excess Margin Deposits
    Deposited funds in a trading account above and beyond basic margin requirements.
    Completion of a trade.
    Action by a holder taking advantage of a privilege or right (to buy a security/asset) offered by a company or other financial institution. This includes warrants, options, and other financial instruments.
    Currencies that are not actively traded; used in contradistinction to "major currencies."
    Exotic Option
    Derivative which has features making it more complex than commonly traded products (vanilla options). These products are usually traded over-the-counter (OTC), or are embedded in structured notes.
    Expiration Date
    Date after which a financial contract or derivative is no longer valid.
    Exponential Moving Average (EMA)
    Compared to a simple moving average, which distributes weight equally across a data series, exponential moving averages afford greater weight to recent prices/data.
    Net of all long and short positions for a particular currency (pair).
    Face Value
    Value of a bond to be paid out at maturity. Also known as Par Value.
    Factory Orders
    Economic indicator that measures new orders for both durable and nondurable goods.
    Fast Market
    Strong pressure in the market, in which prices are moving too quickly to be disseminated.
    Federal Deposit Insurance Corporation (FDIC)
    US regulatory agency charged with regulating US banks. The FDIC provides insurance up to $100,000 per account.
    Federal Funds Rate (FFR)
    Interest rate at which private depository institutions (mostly banks) lend balances (federal funds) at the Federal Reserve to other depository institutions, usually overnight. The FFR is guided (but not determined outright) by the Federal Open Market Committee.
    Federal Open Market Committee (FOMC)
    Committee made up of Federal Reserve members, which meets eight times a year to discuss/ implement monetary policy.
    Federal Reserve Bank (Fed)
    The central bank of the United States, responsible for using monetary policy to promote economic growth and price stability.
    Federal Reserve Board
    Senior members of the Federal Reserve, each of whom is appointed by the US President. The chairman of the Fed Reserve Board serves a 4-year term, while the other members serve 14-year terms.
    Fiat Currency
    Money declared by a government to be legal tender, and not backed by any other commodity, such as gold.
    Fibonacci Numbers
    Sequence of numbers in which each successive number is the sum of the two previous numbers. Fibonacci numbers are used in financial/currency markets to develop trading algorithms, applications and strategies. The four most common forms are the Fibonacci fan, Fibonacci Arc, Fibonacci Retracement and the Fibonacci Time Extension.
    Execution of an order to buy or sell.
    Fill or Kill
    Type of order which is either completed or rejected in full.
    Fill Price
    Price at which a buy or sell order is executed.
    Firm Quote
    Order to buy or sell a security/currency that is not subject to cancellation.
    First In First Out (FIFO)
    Account rule that dictates all positions opened within a particular currency pair are liquidated in the order in which they were originally opened.
    Financial Services Authority (FSA)
    Agency designated by the UK Treasury to regulate the UK financial industry.
    Fiscal Policy
    Refers to tax policy, government spending, and other government initiatives directed at optimizing economic performance.
    Fisher Effect
    Theory that money moves from low-yielding currencies into higher-yielding currencies, as investors chase higher interest rates.
    Fixed Exchange Rate
    Exchange rate regime in which a currency is pegged by the Central Bank so that it cannot fluctuate against other currencies. Currencies can be pegged to other currencies or commodities, such as gold.
    A method used to determine rates/prices that seeks to balance buying and selling pressure.
    Flag and Pennant
    Trading pattern characterized by an upward movement with a large slope followed by a period of consolidation. It is considered a bullish pattern overall, as the pattern is expected to continue rising.
    A situation in which a position is closed, or two positions exist that cancel each other out.
    Flat on a failure
    Recommendation to take profits on a long trade if the exchange rate tests but fails to break through a specified level.
    Floating Interest Rate
    An interest rate that adjusts in accordance with market forces. Opposite of a fixed interest rate.
    Lowest acceptable limit as restricted by controlling parties. Opposite of a cap.
    A type of compound option, whereby the purchaser has the right, but not the obligation, to enter into a floor at a predetermined rate on a predetermined date.
    Force Majeure
    Contractual clause that relieves either party from fulfilling the obligations of the agreement as a result of an "extraordinary event."
    Foreign Exchange (Forex)
    The buying and selling of currencies.
    Foreign Currency Effect
    Potential for changes in exchange rates to affect returns on overseas investments.
    Forward Contract
    Derivative Agreement between two parties to buy or sell an asset at a certain future time for a certain price agreed today. This is in contrast to a spot contract, which is an agreement to buy or sell an asset today.
    Forward Points
    Pips added to or subtracted from the current exchange rate to calculate a forward price.
    Forward Rate
    Interest rate for a future period. For example, it could refer to a one-year interest rate beginning six months from now.
    Forward rate agreement (FRA)
    Interest rate contract in which buyer and seller agree to exchange the difference between the current interest rate and a pre-agreed fixed rate.
    Free Reserves
    Margin by which reserves exceed borrowings. Also known as excess reserves.
    Front Office
    Refers to those personnel with whom customers have the opportunity to interact.
    Fundamental Analysis
    The analysis of economic indicators and political and current events that could effect the future direction of financial markets. Opposite of Technical Analysis.
    Fundamental Trader
    A currency trader that relies on fundamental analysis.
    Funding Currency
    A comparatively low-yielding currency, which is used to borrow money so that the proceeds can be invested in a higher-yielding currency.
    Futures Contract
    Standardized contract to buy or sell a specified commodity/asset of standardized quality at a certain date in the future, at a market determined price (the futures price). The contracts differ from forward contracts in that they are traded on a futures exchange.
    FX Forward
    Obligation to buy or sell a currency at an agreed price on an agreed date. The forward or future price is decided by adjusting the spot or current price to account for changes in interest rates.
    The second order rate of change of an option, measuring change in delta with respect to changes in the underlying asset price.
    Forum, for governments of eight nations of the northern hemisphere: US , Germany, Japan, France, UK, Canada, Italy, and Russia. Previously known as the G7 and sometimes expanded to G10 or G20.
    Gold Contract
    Standard unit of trading gold; equal to 10 troy ounces.
    Gold Standard
    A type of exchange rate regime which fixes a currency to the price of gold. Prior to 1973, the value of the US Dollar was fixed to the price of gold, and all other currencies were fixed to the Dollar.
    Golden Cross
    Refers to a technical analysis pattern in which two moving averages intersect, believed to indicate that the reference currency will move in the same direction.
    Goldilocks Economy
    Term attributed to Alan Greenspan, describing an economy (and corresponding monetary policy) that is characterized by both steady growth and moderate inflation. In other words, neither too hot nor too cold.
    Good-till-Cancelled Order (GTC)
    Type of Order to buy or sell a security/currency at a fixed price that doesn’t expire unless the order is executed or canceled.
    Grid Trading
    Series of positions and open orders undertaken with a predetermined spread.
    An amount calculated before deduction of tax or commissions.
    Gross Domestic Product (GDP)
    Basic measure of an economy’s economic performance, equal to the market value of all final goods and services
    made within the borders of a nation in one year.
    Gross National Product
    Value of all goods and services produced in a country in one year, plus income earned by its citizens abroad, minus income earned by foreigners in the country.
    Hard Currency
    Any "major" currency that investors have confidence in.
    Head and Shoulders
    Refers to a technical analysis pattern resembling two peaks (the shoulders) with a higher peak between the two shoulders (the head). The bottom boundary that both shoulders reach, is regarded as a key point traders can use to enter/exit positions.
    Trading strategy implemented with the goal of reducing risk from adverse price movements that surrounds one’s primary position. Typically involves taking an offsetting position in another security/currency, and/or using derivatives to limit downside.
    Hedge Fund
    A private investment fund, usually open to a limited number of investors. Subject to fewer restrictions and regulations, hedge funds can use aggressive, often speculative and leveraged investment strategies in pursuit of higher returns.
    Refers to the day’s high and low prices, respectively.
    Historical Volatility
    Volatility in the underlying asset price, rate or return over a specific period in the past. It is used to check whether the implied volatility of an option is expensive by historical standards.
    Hit the Bid
    Acceptance by one buyer/seller of another’s price.
    Horizontal Spread
    Options strategy which involves the purchase of one option and simultaneously selling the same type of option with the same strike price but a different expiration.
    Housing Starts
    Economic Indicator that measures the number of new residential buildings that began construction during the previous month.
    Inflation that is very high and difficult to control,whereby prices increase rapidly as a currency loses its value. Definitions vary, but one standard is inflation exceeding 50% in one month, and/or 100% in one year.
    Security or currency that is not traded actively.
    Implied Volatility
    The derived volatility of an asset calculated indirectly from options prices.
    In the Money
    Refers to a call or put option that has intrinsic value because the exercise price is below or above, respectively, the current market price of the underlying security.
    Index Funds
    Investment funds which seek to mirror the returns of a market index by investing directly in the securities that make up that index.
    Indicative Quote
    Price quoted by a dealer for information purposes. Opposite of a Firm Quote.
    Industrial Production
    Economic indicator that measures the total value of output produced by manufacturers, mines and utilities. This data point tends to mirror the expansions and contractions of the business cycle and can act as a leading indicator of economic growth.
    Refers to a general rise in the price level of goods and services, measured by a price index, which leads to a decrease in the purchasing power of money.
    Initial Margin
    Funds required to enter into a leveraged transaction,quoted as a percentage of the price of the asset.
    Interbank/Interdealer Market
    Market open only to large financial institutions.
    Interbank Rates
    Foreign Exchange rates (or interest rates) quoted by large multinational banking institutions.
    Interest (Rate)
    Cost of using/borrowing money, expressed as a rate per period of time.
    Interest Rate Swap
    Derivative in which one party exchanges a stream of interest payments for another party’s stream of cash flows.
    Institute for Supply Management (ISM) Manufacturing Index
    Economic indicator that measures the state of the US manufacturing sector by surveying executives on expectations for future production, new orders, inventories, employment and deliveries. Values over 50 generally indicate an expansion, while values below 50 indicate contraction. There is also a non-manufacturing version of the index.
    International Organization for Standardization (ISO)
    International-standard-setting body composed of representatives from various national standards organizations, which determines among other things, the trading codes used by forex traders, such as EUR for Euro.
    Refers to the act of a Central Bank buying or selling currency in the spot market in order to influence the value of its own currency.
    International Monetary Fund (IMF)
    International organization that oversees the global financial system by following the macroeconomic policies of its member countries, in particular those with an impact on exchange rates and the balance of payments.
    International Monetary Market (IMM)
    Arm of the Chicago Mercantile Exchange that lists a number of currency and financial futures.
    International Securities Dealers Association (ISDA)
    Organization charged with regulating inter-bank markets and exchanges.
    Intra-Day Position
    Any position that is opened and closed within the same trading day.
    Intrinsic Value
    Calculated difference between an option’s exercise price and the current market price of the underlying security. May be zero.
    Refers to the trend of a country’s trade balance following a devaluation or depreciation. A higher exchange rate initially means imports are more expensive, making the current account worse (a bigger deficit or smaller surplus).
    Refers to a trader that aims to achieve small and consistent, short-term (usually intra-day) profits.
    Joint Account
    Bank or investment account owned by two or more people.
    Slang term for the New Zealand Dollar.
    Key Currency
    The act of linking one currency to another, usually undertaken by a small country towards that of a major trading partner.
    Knock In
    Refers to the process whereby a European barrier option becomes active as the underlying option is in the money.
    Knock Out
    Refers to the process whereby a European barrier option becomes inactive as the underlying option has fallen out of the money.
    Labor Productivity
    Type of economic indicator that measures the growth in labor efficiency for producing goods and services.
    Ladder Option
    Type of Option that locks in gains as the underlying asset reaches predetermined price levels.
    Lagging Indicator
    Any economic indicator that reacts slowly to economic changes, and therefore has little predictive value.
    Refers to an option that has expired worthless.
    Lay Off
    The act of carrying out a transaction in order to offset a previous transaction and return to a square position.
    Lesser Developed Country (LDC)
    Term generally used to describe a nation with a low level of material well being. There is no single internationally-recognized definition of developed country.
    Leading Indicators
    Economic indicators that are used to forecast economic activity because they change before the economy does.
    Leads and Lags
    Effect on foreign trade payments of an anticipated move in the exchange rate, typically a devaluation, whereby importers and exporters speed up or slow down their payments to try to achieve the most favorable conversion rates.
    Leverage (Margin)
    The ability to borrow money to fund trading/investing activity. The amount that can be borrowed varies between brokers, and is quoted as a multiple of maximum position size to deposited funds.
    Generally, a claim on a company’s assets. In forex, the obligation to deliver to a counterparty an amount of currency at a specified future date, in connection to a forward or spot transaction.
    Limit Order
    Type of buy/sell order which cannot be executed unless a specified minimum or maximum price, respectively, is satisfied.
    Limit Price
    The specified price associated with a limit order.
    Limited Convertibility
    The condition whereby a currency cannot be freely exchanged (especially by primary users of that currency) for other currency.
    Line Chart
    Most basic type of chart, which plots a series of price levels over time and connects them with lines.
    Liquid Market
    When there are plenty of lots of a particular currency being bought and sold every day.
    Transaction that offsets or closes out a previous position.
    Refers to the ability of an asset/currency to be easily converted through an act of buying or selling without causing a significant movement in the price and with minimum loss of value.
    London Interbank Offered Rate (LIBOR)
    Daily reference rate based on the interest rates at which banks borrow unsecured funds from other banks in the London interbank market. It is roughly comparable to the U.S. Federal funds rate.
    London International Financial Futures Exchange (LIFFE)
    Association composed of the three largest future exchanges in the UK.
    When transacting in a currency pair, the long currency is the one listed first. The goal of being long is to profit from currency appreciation
    Lookback Option
    Type of option that allows the holder to "look back" at the prices of the underlying asset during the life of the option in order to select an optimal exercise price.
    Slang term for a Canadian Dollar.
    Standardized quantity in forex, composed of 100,000 units of a particular currency pair.
    An investment strategy driven by macroeconomic considerations.
    Maintenance (Margin)
    Minimum margin ratio above which margin account balances must remain. Falling below will trigger a margin call, whereby a customer will be requested to either deposit funds or sell securities in order to return the maintenance margin to an acceptable level.
    Managed Float
    Type of exchange rate regime whereby central banks regularly intervene to stabilize/control the movements of an otherwise floating currency.
    Manual Trading
    Process of inputting trades manually without an API.
    Manufacturing Production
    Economic indicator that measures the total output of the manufacturing component of industrial production.
    Minimum deposit required to maintain an open position.
    Margin Account
    Type of account that allows leveraged (i.e. on credit) buying and selling.
    Margin Call
    Oral or written notification requesting a customer to either deposit funds or sell securities in order to return the maintenance margin to an acceptable level.
    Marginal Risk
    Refers to the risk that a customer goes bankrupt after entering into a forward contract. In such an event, the issuer must close the commitment running the risk of having to pay the marginal movement on the contract.
    Marked to Market
    Refers to the accounting standards of assigning a value to a position held in a financial instrument based on the current fair market price.
    Market Close
    Time used to demarcate trading days for administrative purposes, necessary because forex markets operate 24 hours per day.
    Market Maker
    Refers to any dealer who provides a two-way quote a bid and ask price in which they stand ready to buy or sell.
    Market Order
    Type of order for immediate execution at the best available price.
    Market Rate
    Most current quote for a currency pair.
    Market Risk
    Describes the risk that demand and supply pressures can cause the value of an investment to fluctuate.
    Martingale System
    Betting strategy whereby the gambler doubles his/her bet after every loss, so that the first win recovers all previous losses plus wins a profit equal to the original stake.
    Date (or number of years) on which payment of a financial obligation is due.
    Maximum Leverage
    Largest position that a given margin deposit would cover.
    Mean Reversion
    Theory and observed phenomenon whereby prices and returns eventually move back towards their long-term averages.
    Popular online trading platform designed for financial institutions dealing with forex and derivatives markets.
    Middle Rate
    Refers to the price halfway between the bid and ask quote offered by dealers.
    Mine and Yours
    Used to signal (in an open outcry system) when a trader wants to buy and sell.
    Mini Account
    Type of trading account that allows traders to trade partial (i.e smaller) lot sizes.
    Minimum Price Contract
    Forward contract with a provision guaranteeing a minimum price at delivery of the underlying commodity.
    Mobile Trading
    Use of mobile devices (such as cellular phone or pda) to execute forex transactions,
    Portion of a computer program that carries out a specific function and may be used alone or in combination with other modules of the same program.
    Refers to the tendency of securities/currencies to continue moving in the same direction in which they are currently moving.
    One who believes that money and monetary policy have a strong (if not the strongest) effect on economic growth.
    Monetary Base (M0)
    : Notes and coins (currency) in circulation and in bank vaults, plus reserves which commercial banks hold in their accounts with the central bank (minimum reserves and excess reserves).
    Monetary Easing
    Refers to a central bank moving to speed up the velocity of money and increase the money supply, usually by lowering interest rates or buying securities on the open market.
    Money Manager
    Individual or organization responsible for the entire financial portfolio of another individual or entity, receiving management and/or performance fees as compensation.
    Monetary Policy
    Refers to various tools available to a central bank, that can be employed to influence the money supply, and ultimately to moderate economic growth and price inflation.
    Monetary Policy Committee (MPC)
    Bank of England subcommittee that meets every month to decide the official interest rate in the UK.
    Money Supply
    Total amount of money available in an economy at a particular point in time. The different types of money are typically classified as M’s. M1 consists of all cash in circulation, plus all of the money held in checking accounts, as well as all the money in travelers checks. M2 consists of M1 plus all of the money held in money market funds, savings accounts, and small time deposits.M3 equals M2 plus large time deposits, institutional money-market funds, short-term repurchase agreements, along with other larger liquid assets. Unlike M1 and M2, M3 is no longer published or revealed to the public by the Fed.
    Most Favored Nation
    Preferential treatment afforded to fellow World Trade Organization members.
    Moving Average (MA)
    Method commonly used with time series data to smooth out short-term fluctuations and highlight longer-term trends or cycles.
    Moving Average Convergence / Divergence (MACD)
    Technical analysis indicator that shows the difference between a fast and slow exponential moving average of closing prices.
    Mutual Fund
    The US equivalent of a unit trust.
    Naked Put
    The act of writing a put while not simultaneously short the underlying asset, creating significant downside exposure.
    Narrow Market
    Market characterized by thin/light trading.
    Negative Carry Pair
    The inverse of a traditional carry trading strategy, whereby one is long a low-yielding currency and short a high-yielding currency.
    Negative or Bearish Divergence
    Occurs when a new high in price takes place without a corresponding new high in a related price, average, index or other technical indicator.
    Net Asset Value (NAV)
    In a forex trading account, equal to the balance of deposits, realized and unrealized profit/loss, and interest, minus withdrawals.
    Method of settling a trade whereby only the difference (profit or loss) is calculated.
    Net Position
    The amount of currency bought or sold not offset by opposing transactions.
    Net Worth
    Difference between one’s assets and liabilities. For public companies, this is referred to as shareholder equity.
    New Home Sales
    Economic indicator that measures the annualized number of new residential buildings that were sold in the previous month.
    News Trading
    An approach to trading that seeks to anticipate and profit from (the markets’ reaction to) news announcements.
    US term for five basis points.
    The index of the 225 leading stocks traded on the Tokyo Stock Exchange.
    Refers to market activity that does not correspond to actual perceived market sentiment, perhaps creating a contradictory picture.
    Non-Client Order
    Any order submitted by a participant firm or on behalf of someone associated with the participant firm.
    Nonfarm Payrolls
    Economic indicator that measures the change in the number of employed people during the last month of all non-farming businesses.
    Nostro Account
    Foreign currency current account maintained with another bank. The account is used to receive and pay currency assets and liabilities denominated in the currency of the country in which the bank is resident.
    Not Held Basis Order
    Type of order whereby the price may trade through or better than the client’s desired level, but the principal is not held responsible if the order is not executed.
    A financial instrument consisting of a promise to pay rather than an order to pay or certificate of indebtedness.
    Notional Amount
    Size of a (derivative) contract.
    Odd Lot
    A non-standard forex transaction size. Also known as Partial Lot.
    Old Lady
    Slang term for the Bank of England.
    Off-Balance Sheet
    Refers to financing or capital raising activities that does not appear on a given company’s balance sheet, such as derivative agreements and investments in certain types of partnerships.
    The price (or rate) at which one is willing to sell.
    Official Settlements Account
    US balance of payments category that sums the movement of dollars in foreign official holdings and US reserves.
    Offsetting Transaction
    The act of entering into a position diametrically opposed to an existing position.
    Offshore Bank
    A bank located outside the country of residence of the depositor, typically in a low tax jurisdiction (or tax haven) that provides financial and legal advantages.
    Omnibus Account
    An aggregate count held by one merchant/dealer, that consists of multiple individual accounts rolled together.
    One Cancels Other Order (OCO Order)
    Type of order whereby two orders are submitted simultaneously. The execution of one automatically cancels the other.
    Open Interest
    Denotes the total number of derivative contracts, like futures and options, that are currently active on a specific underlying security.
    Open Market Operations
    The means of implementing monetary policy by which a central bank controls its national money supply by buying and selling government securities, or other financial instruments.
    Open Order
    A valid order that has neither been executed nor canceled, probably because the price/rate has not reached the level stipulated by the customer.
    Open Position
    The condition of being long or short currency, such that price fluctuations cause unrealized gains or losses. Opposite of closed position.
    Opening Price
    Price at which a stock starts dealing, either at market opening or when stock was first listed.
    Opening Purchase
    Transaction in which the seller of an option becomes the writer.
    The right, but not obligation, to buy or sell an underlying investment at a certain point in the future at the price agreed today.
    Option Class
    All options, usually separated into calls and puts, for a given underlying asset.
    Option Series
    All options of the same class with the same exercise price and expiration date.
    Customer instruction to a broker/dealer to buy or sell securities/currency. Unless a time limit is attached to the order, it will remain valid until either executed or canceled.
    Technical analysis indicator that varies over time within a band (above and below a center line, or between set levels), used to discover short-term overbought or oversold conditions.
    Out of the money
    When an option has no intrinsic value, because the exercise price is above (in the case of calls) or below (in the case of puts) the current market price of the underlying security.
    Outright Deal
    Refers to a forward agreement that is not part of a swap.
    Outright Forward
    Currency exchange transaction intended to be settled at a later date.
    Describes an asset/market in which prices are perceived to have risen higher than is justified by fundamental or technical analysis.
    Describes an asset/market in which prices are perceived to have fallen lower than is justified by fundamental or technical analysis.
    Occurs when an economy’s productive capacity is unable to keep pace with growing aggregate demand. It is generally characterized by an above-trend rate of economic growth and price inflation.
    A position that has not been closed by the end of business day.
    Overnight Limit
    Net long or short positions that a dealer can carry over into the next dealing day.
    Over-the-counter Market
    The trading of stocks, bonds, commodities or derivatives directly between two parties. It is contrasted with exchange trading.
    Account-holder, whose name is listed on the account opening paperwork.
    Package Deal
    Situation in which multiple exchange and/or deposit orders must be filled simultaneously.
    Official value of a currency or other asset.
    Par Spread
    Refers to a situation in which the bid and ask prices for a forward rate spread are identical.
    The condition whereby an option’s value in the market is the same as its intrinsic value.
    The value of one currency in terms of another.
    Partial Lot
    A non-standard forex transaction size. Also known as Odd Lot.
    Type of exchange rate regime where one currency’s value is fixed to another currency or basket of currencies.
    Permitted Currency
    Currency that is fully convertible and hence, very liquid.
    The most basic price movement in forex, equal to 0.0001 (.01% of 1 unit).
    Point & Figure Charts
    Type of chart that plots price, without any consideration of time.
    Political Risk
    Refers to the complications businesses and investors may face as a result of a change in government policy or sudden expropriation (nationalization by the government ).
    Netted total exposure to a given currency. A position can be either flat or square (no exposure), long (more currency bought than sold), or short (more currency sold than bought).
    Refers to the amount by which a forward rate exceeds a spot rate or the price a put or call buyer must pay to a seller for an option contract.
    Price Transparency
    Ability of all market participants to trade at the same price.
    Prime Rate
    The benchmark rate from which most lending rates by banks are calculated in the US.
    A dealer who buys or sells stock/currency for his/her own account.
    Producer Price Index (PPI)
    Economic indicator that measures average changes in prices received by domestic producers for their output.
    Profit Taking
    The unwinding of a position to realize profits, based on the assumption that the asset will soon fall in value.
    Purchasing Power Parity
    Model of exchange rate determination based on the law of one price, which states that the price of a good in one country should equal the price of the same good in another country.
    Put Option
    Option that gives the holder the right, but not the obligation, to sell a specified amount of a commodity, financial instrument or currency.
    Put-call Parity
    Defines a relationship between the price of a call option and a put option—both with the identical strike price and expiry. When both options are at the money forward, the value of the call option is equal to the value of the put option.
    Put/Call Ratio
    Technical analysis indicator calculated by dividing the number of put options by the number of call options for a particular asset, used to gauge market sentiment.
    Parabolic Stop and Reverse (SAR)
    Technical analysis tool designed to find trailing stop loss based on the notion that prices tending to stay within a parabolic curve during a strong trend.
    Profit & Loss or (P & L)
    The actual "realized" gain or loss from trading activities. May also include "unrealized" gains and losses from open positions.
    Quantitative Analysis
    The development and application of mathematical and statistic models towards investing and trading.
    Quantitative Easing
    Describes an extreme form of monetary policy used to stimulate an economy where interest rates are either at, or close to, zero. In practical terms, the central bank purchases financial assets from financial institutions using money it has created out of nothing.
    Provision of a bid/ask spread for a currency pair.
    Quote Currency
    Currency listed second in a currency pairing.
    Rainbow option
    Options with more than one underlying asset, where these assets cannot be conveniently interpreted as a single composite asset. Also known as basket options.
    Refers to sustained rise in asset prices.
    Difference between the highest and lowest exchange rate for a given currency pair during a given time period.
    Short for ‘exchange rate’ or ‘interest rate.’
    Rate Differential
    Difference between two countries’ benchmark interest rates, often used as a basis for forecasting exchange rates.
    Rate of Return
    The percentage of gained or lost on an investment relative to the amount of money invested.
    Rating agency
    Independent agencies such as Moody’s, Standard and Poor’s and Fitch IBCA that assess the credit quality and likelihood of default of an issue or issuer and subsequently assign a rating code to that issue or issuer.
    Ratio Spread
    Holding an unbalanced number of long and short options positions.
    Refers to a sudden fall in prices following a period of appreciation.
    Realized Profit & Loss
    Refers to the gain or loss that results from closing a position.
    Without any delay. Most quote systems offer real-time prices, which are the prices at which buying and selling is actually taking place in the market at that moment.
    General slowdown in economic activity over a sustained period of time, or a business cycle contraction. Defined by the National Bureau of Economic Research as two consecutive quarters of falling GDP.
    Technical analysis pattern characterized by strong support and resistance lines, designating a trading range or consolidation zone.
    Reciprocal Currency
    In a quote, the currency on the right side of the equation. Same as Quote Currency.
    Regulated Market
    Any market/exchange monitored by a government agency with the goal of protecting investors.
    Relative Strength Index (RSI)
    Technical analysis momentum oscillator measuring the velocity and magnitude of directional price movement by comparing upward and downward close-to-close movement.
    Repurchase Agreement (REPO)
    Short-term money market instruments, used primarily to raise short-term capital.
    Reserve Bank of Australia (RBA)
    Central Bank for Australia, whose actions bear directly on the Australian Dollar.
    Observed or potential shift in the current trend.
    Reserve Currency
    Any currency that is perceived as stable/reliable, such that Central Banks are willing to hold it in mass quantities. The US Dollar is currently the world’s foremost reserve currency.
    Refers to foreign exchange and gold, SDRs and IMF reserve positions, held by central banks and monetary authorities, which can be drawn from to conduct monetary policy and repay obligations.
    Price level that, if reached, activates many sell triggers.
    Retail Prices Index (RPI)
    Measures inflation based upon the price of a selection of family goods.
    Retail Sales
    Economic indicator that is seen as a proxy for consumption. It is considered a coincident indicator, in that activity reflects the current state of the economy.
    Daily calculation of unrealized P&L (on open positions) based on the difference between the previous closing price and the current opening price. Also refers to a change in a country’s exchange rate for a currency as a result of central bank intervention or other official action.
    The potential for adverse activity to result in financial loss, in which case the actual return might deviate from the expected return. Risks associated with forex include market risk, liquidity risk, counterparty risk, credit risk, and political risk.
    Risk Capital
    Refers informally to an amount of money that could be lost without meaningfully impacting one’s financial position.
    Risk Management
    Refers to the use of financial instruments to manage exposure to risk, particularly credit risk and market risk.
    Simultaneous closing of an open position for today’s value date and the opening of the same position for the next day’s value date at a price reflecting the interest rate differential between the two currencies.
    Rollover Credit
    Amount added to a trader’s account when the long currency of a currency pair has a higher yielding interest rate than the short currency.
    Rollover Debit
    Amount subtracted from a trader’s account when the long currency of a currency pair has a lower yielding interest rate than the short currency. Opposite of Rollover Credit.
    Rollover Rate
    Refers generally to the interest rate differential that applies to a trader’s portfolio, resulting in either a rollover credit or rollover debit.
    Round Lot
    Refers to a standard lot of 100,000 units of a currency.
    Round Trip
    Buying and then selling of an equal amount of currency.
    Rounding Top and Bottom
    Rounded top/resistance line indicates bearishness, while rounded bottom/support line indicates bullishness.
    Running a Position
    Slang term for Open Position.
    Same Day Transaction
    Any position that is opened and closed on the same trading day.
    Sell Stop Order
    Type of limit order, whereby the limit price is placed below the current market price. Once triggered, the order is executed at the market price.
    Selling Rate
    Ask or offer rate.
    Selling Short
    The act of selling a currency pair such that one is short the base currency and long the quote currency, with the goal of profiting from depreciation.
    Physical exchange of one currency for another.
    Settlement Date
    Refers to the business day specified for delivery of the currencies bought and sold under a forex contract.
    Settlement Risk
    Potential for financial loss to result from a counterparty being unable to settle. Similar to Counterparty Risk.
    Short Position
    An open position that aims to capture gains from currency depreciation.
    Short Squeeze
    Rapid increase in the price of a stock/currency that occurs when there is a lack of supply and an excess of demand So-called because in such conditions, short sellers move to cover their positions.
    Shout Option
    Type of option allows the holder effectively two exercise dates: during the life of the option they can lock in the current price, and if this gives them a better deal than the pay-off at maturity they’ll use the underlying price on the shout date rather than the price at maturity to calculate their final pay-off.
    Refers to a condition of extraordinary interest in a currency pair, such that other major currency pairs are traded thinly as a result.
    Simple Moving Average (SMA)
    Technical analysis indicator commonly used with time series data to smooth out short-term fluctuations and highlight longer-term trends or cycles, that gives equal weight to all data points.
    Refers to the phenomenon whereby the actual fill price differs from the expected fill price, as a result of a fast-moving market or broker error.
    Society for World-wide Interbank Telecommunications (SWIFT)
    Global electronic network for forex settlement, known for a code uniquely identifies financial institutions for the purpose of transfers and settlement.
    Soft Market
    Describes a market characterized by more sellers than buyers.
    Sovereign Risk
    The risk that a government will either default on its obligations or will impose regulations restricting the ability of issuers in that country to meet their obligations, such as foreign currency restrictions.
    Financial action that does not promise safety of the initial investment along with the return on the principal sum.
    Larger than expected price movement, caused by a news announcement or broker error.
    Spot Market
    The act of buying or selling forex based on current (spot) prices, with settlement taking place two days later.
    Spot/Next Roll
    The overnight swap from the spot date to the next business day. Another term for Rollover.
    Difference between the bid and ask price for a given currency pair. Also known as Bid Ask Spread.
    Condition whereby all positions in a dealer’s books (or a trader’s account) have been closed.
    Refers to a central bank that is attempting to reduce the money supply in order to increase the price of money.
    Stable Market
    Refers to a market or currency pair that can accommodate large volumes without causing equally large price fluctuations.
    Period of economic recession or low growth combined with high price inflation.
    Process by which central banks offset intervention in the forex market by activities in the domestic money market. For example, if a central bank buys foreign exchange (to counteract appreciation of the exchange rate), it will also sell government debt to contract the monetary base by an equal amount.
    Official term for the British Pound.
    Stochastic Oscillator
    Technical analysis tool designed to compare the closing price of a currency to its price range over a given time period.
    Agent that buys and sells shares on one’s behalf and earns commission on the value of the transaction. Also known as a broker.
    Slang term for the Swedish Krona.
    Stop Order
    An order to buy or sell when the price rises to/above or falls to/below a specified stop price. When buying, a stop order is used to make an investment, but only when an upward trend has been established. When selling, a stop order is used as protection from a sudden fall in the share price, or to lock-in profits already made, and is also known as a stop loss order.
    Stop Price
    The price at which a stop order is triggered. For purchases, the stop price acts as a minimum price you will pay if an investment is made. For sales, the stop price acts as the maximum price you will receive if a holding is sold.
    Stop Loss Strategy
    Trading strategy that involves setting multiple, partial stop loss limit orders at different price levels in order to avoid incurring further losses.
    Options strategy that allows the holder to profit based on how much the price of the underlying security moves, regardless of the direction of price movement.
    Options strategy that allows the holder to profit based on how much the price of the underlying security moves, with relatively minimal exposure to the direction of price movement.
    Options strategy consisting of two puts and one call.
    Structural Unemployment
    Unemployment caused by systemic flaws in the structure of an economy, that cannot be fixed through fiscal or monetary policy.
    Strike Price
    The price at which an underlying asset can be bought or sold as specified in an option contract. Also known as Exercise Price.
    Account segregation into smaller accounts, for ease of managing and executing distinct trading and hedging strategies.
    Level or floor that halts a currency’s downward progress, as a result of strong buying pressure at that level.
    Type of derivative in which two parties agree to exchange one stream of cash flows against another.
    The option to enter into a swap contract.
    Swing Option
    Type of option that gives the purchaser the right to exercise one and only one call or put on any one of a number of specified exercise dates. Penalties are imposed on the buyer if the net volume purchased exceeds or falls below specified upper and lower limits.
    Slang term for the Swiss Franc.
    Symmetrical Triangle
    Technical analysis pattern that consists of two lower highs and two higher lows. By extending lines through these points, a symmetrical triangle is formed. It is commonly associated with directionless markets as the contraction of the market range indicates that neither the bulls nor the bears are in control. If this pattern forms in an uptrend then it is considered a continuation pattern if the market breaks out to the upside and a reversal pattern if the market breaks to the downside. Similarly if the pattern forms in a downtrend it is considered a continuation pattern if the market breaks out to the downside and a reversal pattern if the market breaks to the upside.
    Systematic Risk
    The risk that derivatives permit the transmission of risk across previously unrelated markets, thus making it more likely that a large shock in one will be transmitted to others.
    Refers to the settlement period that is allowed once a security has been traded. T+ 5 would mean that settlement will occur five business days after the transaction day.
    Take Profits
    The unwinding of a position to realize profits, based on the assumption that the asset will soon fall in value.
    Take-Profit Order (T/P)
    An order specifying the exact rate or number of pips from the current price point at which point a current position should be closed, and gains will be locked in.
    Take the Offer
    Verbal command that accepts an offer to sell a given currency pair to a dealer.
    Technical Analysis
    Broad approach to forecasting the future direction of prices through the study of past market data, primarily price and volume. It may also employ models and trading rules based on price and volume transformations.
    Technical Correction
    Price adjustment that is expected as a result of technical factors, rather than market sentiment or fundamental developments.
    Technical Indicators
    Short-term trends that technical analysts use to inform predictions for future price movements. Also called Technicals and Technicalities.
    Technical Trader
    One whose approach to trading relies on technical analysis.
    TED Spread
    Difference between the interest rates on interbank loans and short-term U.S. government debt. The TED spread is now calculated as the difference between the three-month T-bill interest rate and three-month LIBOR.
    Terms of Trade (TOT)
    Ratio of exports to imports. An improvement in a nation’s terms of trade (the increase of the ratio) is good for that country in the sense that it has to pay less for the products it imports.
    Rate of change of an option price with respect to time. Theta is a negative, reflecting the fact that the option value decreases over time.
    Thin Market
    Another term for Narrow Market.
    Smallest possible change in a price, either up or down. Also known as Pip.
    Streaming display of current or recent rates for a given currency pair.
    Refers to a central bank raising interest rates or otherwise conducting monetary policy in an attempt to reduce demand and curb inflation.
    Tier One
    Highest grading that a bank can earn for its financial strength, according to The Bank of International Settlements.
    Tokyo Inter-bank Offered Rate (TIBOR)
    Daily reference rate based on the interest rates at which banks offer to lend unsecured funds to other banks in the Japan interbank market.
    Tomorrow Next
    The process of not taking delivery of a currency by closing the position and reopening it with the current trade date so the settlement date is pushed forward to the next trade date.
    Total Return
    Annual return on an investment including capital appreciation and interest.
    Total Return Swap (TRS)
    Provides the buyer with the economic performance of the reference obligation – i.e. the coupon or interest from the reference obligation together with any capital gains – in return for a predetermined funding cost. The buyer will be required to pay any capital losses.
    Trade Date
    Date on which a position is opened.
    Trade Price Response
    Belief that a currency will react when a certain price is reached, and that traders should respond accordingly.
    Tradeable Amount
    Smallest transaction size permitted by a broker, varying from 1 unit to 100,000 units.
    Trading Margin Excess
    Extra funds beyond the margin requirements for existing positions that can be used to enter into new positions or increase existing positions.
    Trading Model
    Sophisticated program that provides buy/sell recommendations based on evaluation of historical data.
    Trading Platforms
    Software applications used for trading forex online.
    Trailing Stop Order
    Order entered with a stop parameter that creates a moving or trailing activation price. This parameter is entered as a percentage change or actual specific amount of rise (or fall) in the security price.
    One of a number of related securities offered as part of the same transaction.
    Buying or selling a currency pair.
    Transaction Cost
    Fees associated with a transaction, which are either assessed by brokers directly or indirectly via the bid-ask spread.
    Transaction Date
    Date on which a position is opened or closed.
    Treasury Securities
    Debt obligations of the US government that come in the form of bills (short-term), notes (medium-term), and bonds (long-term). Used as a risk-free benchmark for the pricing of US dollar dominated securities.
    The current direction of the market, either up, down, or sideways.
    Trend Lines
    Lines, arcs, or other visual cues plotted on a line chart used to identify and demarcate price trends.
    Triangular Arbitrage
    Taking advantage of a state of imbalance between three foreign exchange markets.
    Triple Top
    Technical pattern in which a currency has reached a price level three times previously, but has been unable to break through that level.
    The number or volume of transactions traded over a specific period of time.
    Two-Way Price
    When both bid and ask prices are quoted in a transaction.
    Two-Tier Market
    Dual exchange rate system in which there is an official, government rate and a market rate.
    Unconvertible Currency
    Any currency that cannot be freely exchanged for other(s) because of foreign exchange regulations.
    Uncovered Position
    Another term for Open Position.
    Underlying Asset
    The asset/currency on which the covered warrant, futures contract or option is based and derives its value.
    When a currency is trading below purchasing power parity or other valuation metric.
    Unemployment Rate
    Economic indicator defined as the percentage of those in the labor force who are unemployed.
    The most basic denomination of currency. One unit of USD is equal to one United States Dollar.
    Unit Labor Costs
    Computed by dividing employer labor costs (payments made directly to workers plus employer payments into funds for the benefit of workers) by real value added output. There are various economic indicators that seek to measure changes in unit labor costs.
    University of Michigan Consumer Sentiment Index
    Consumer confidence index published monthly by the University of Michigan.
    Unrealized Profit & Loss
    Gains and losses that exist hypothetically, in positions that have not yet been closed.
    Describes the condition in which a new price quote is higher than the preceding quote.
    Uptick Rule
    Rule that dictates certain types of trades (i.e. short sales) must be executed at a price higher than the previous trade.
    US Dollar Index (USDX)
    Measure of the value of the US dollar, weighted according to the currencies of its trading partners.
    US Prime Rate
    The interest rate at which US banks will lend to the most creditworthy borrowers.
    US Treasury
    Department within the United States government that is responsible for printing money and issuing government obligations.
    V Formation
    Another term for Spike.
    The process of estimating the value of an asset or currency.
    Value at Risk
    A measure of the maximum potential change in the value of a portfolio of financial instruments with a given probability over a specific time period.
    Descriptive term that refers to a relatively simple financial instrument (option or other derivative), with standard features and no special or unusual characteristics. Opposite of Exotic Option.
    Value Date
    Settlement date for a currency contract, usually two business days after the trade date.
    Value Today
    Same day settlement for a currency transaction. Also known as Cash Transaction.
    Statistical measure of how widely a variable is dispersed around the mean.
    Variation Margin
    Refers to the funds required to bring the margin ratio back up to the required level, calculated daily.
    The rate of change of an option price with respect to volatility of the underlying asset.
    Velocity of Money
    Average frequency with which a unit of money is spent in a specific period of time. Velocity associates the amount of economic activity associated with a given money supply.
    Ticker symbol for the Chicago Board Options Exchange Volatility Index, a popular measure of the implied volatility of S&P 500 index options. A high value corresponds to a more volatile market and therefore more costly options, which can be used to defray risk from volatility.
    A measure of the amount of movement in the price/rate of a currency. Often used as a proxy for risk.
    Volatility Smile/Skew
    The asymmetrical distribution of implied volatility. Out of the money puts have higher implied volatilities than calls and vice versa, a fact explained in market terms by supply and demand.
    The number of shares or contracts traded in a security or an entire market during a given period of time.
    Vostro Account
    An account of a foreign bank held at a domestic bank, necessary in a country where the foreign bank lacks a branch presence.
    Wage Price Index
    Any economic indicator that seeks to measure changes in the average price for labor.
    The right, but not the obligation, to buy shares in the company issuing the warrants, on a fixed date, at a fixed price. Similar to options, but not usually tradable.
    Weekly Charts
    Type of charts for which each candlestick or bar encapsulates rate data representing one week.
    Refers to a sharp adverse price movement, or market reversals, perhaps taking place shortly after execution.
    Whisper Number
    Analysts’ predictions for earnings or economic indicators, which often become known to the public despite not being formally released.
    Wholesale Money
    Money borrowed in large amounts from banks and institutions rather than from small investors.
    Wholesale Price Index
    Price of a representative basket of wholesale goods, often used interchangeably with Producer Price Index.
    Wire Transfer
    Electronic transfer of funds from one bank to another.
    Withholding Tax
    Tax levied by a country of source on income paid, usually on dividends remitted to the home country of the firm operating in a foreign country.
    The issuer of an option, warrant, or other derivative.
    Working day
    Any day on which the majority of banks in a currency’s principal financial center are open for business. In forex transactions, a working day only occurs if banks in both (or all) currencies’ countries of use are open.
    World Bank
    International financial institution that provides leveraged loans to poorer countries for capital programs with a goal of reducing poverty.
    World Trade Organization (WTO)
    International organization designed by its founders to supervise and liberalize international trade.
    Chart formation that shows a narrowing price range over time. In an ascending wedge, price highs become incrementally less, whereas in a descending wedge, price declines become incrementally larger.
    Slang for one billion.
    Return on an investment, usually expressed in percentage terms.
    Yield Curve
    Graph plotting the interest rate of a given issuer (most commonly the US Treasury) for a range of different maturities.
    Certificate issued by the Bank of England instead of stock certificates, in order to improve short-term transactions.
    Statistical method for normalizing data points around the mean.
    Currency symbol for the South African Rand.
    Zero Bound
    Refers to interest rates (and corresponding monetary policy) that are at or very close to zero percent.
    Zero Coupon
    A security that pays no interest and is sold well below the face value. The investor gets the return in the form of capital gains.
    Zero Coupon Bond
    A bond issued at a discount, for which investors will not receive coupon payments for the life of the bond. Interest grows over the life of the bond such that at maturity, the bond is redeemed at par.