Scalping
It is a strategy where traders profit off the small price changes for the stock.
Algorithmic
It is a computational procedure that responds automatically to the large increase of demand.
Stock
The equipment used to trade or business.
Time Frame
It’s the amount of time that a trend lasts for in a market
ATP (ARBITRAGE TRADING PROGRAM)
It is a computer-based program that seeks to profit from financial market arbitrage opportunities.
Quantitative Trading
It refers to where it consists of trading strategies that rely on mathematical computations and number-crunching to identify trading opportunities.
Order splitting
It refers to the practice of dividing a large order for the purchase or sale of securities into a series of smaller orders
Risk
It’s the chance that an outcome or investment’s actual gains will differ from an expected outcome or return
High-Frequency Trading (HFT)
Uses powerful computer programs to transact a large number of orders in fractions of a second.
Programmer
A device that controls automatically for the operations of something.
Code
It identifies the item of stock on a stock quotation scheme.
Strategies
A systematic methodology used for buying and selling in the security market.
Brokers
A person who buys and sells goods or assets for others.
Transaction
An agreement between buyer and seller to exchange goods, services, or financial assets.
Securities
The state of being free from danger or threat.
Program Trading
The purchase sale o many different stocks.
Equity
The value of shares issued by a company.
Black box trading
It is used to describe a computer program designed to transform.
Leverage
Use the borrowed capital.
Back testing
It is a general method for seeing how well strategy did export.
Paper Trading
Stimulated which allows an investor to practice buying and selling without risking real money.
DMA
Direct Market Access can be integrated with sophisticated algorithmic trading strategies.
Python
It is an interpreted and object-oriented, high-level programming language with dynamic semantics.
SMA simple moving average
It is an arithmetic moving average calculated by adding average and then dividing that figure by no of times of periods.
EWMA Exponentially Weighted Moving Average
It reduces exponentially way for each period.
Cross Over
It is the point on the trading chart in which a security’s price and technical indicator line.
Loss
An amount of money lost due to business.
Moore’s Law
Refers to Gordons Moore’s perception that the number of transactions on microchips doubles every two years.
Murphy’s Law
It is a supposed law of nature, expressed in various humorous popular sayings, to the effect that anything that can go wrong will go wrong.
Quantitative Finance
It is used in mathematical models and extremely large datasets.
Capital asset pricing model
It describes the relationship between systematic risk and the expected return of assets.
Index Funds
It is a type of mutual fund.
Commodity Futures Trading Commission (CFTC)
IT checks and controls the way futures are traded.
Flash Crash
An extremely rapid decline in the price of one or more commodities or securities.
Shares
Have a portion with another person.
Finance
The management of large amounts of money.
Exchange
It is the act of giving something and receiving something.
Trading Account
Can be any investment account containing securities, cash, or other holdings.
Bid
Offer something at an auction.
Yield
An amount that is produced from agricultural or industrial products.
Profits
Obtain a financial profit
Technical
Having knowledge especially of a mechanical subject.
Index Fund Rebalancing
It is to keep investment balanced and diversified.
Volume Weighted average Price (VWAP)
The ratio of the cumulative share price to the cumulative volume traded over a given time period.
Percentage of Volume (POV)
It is a simple strategy that executes the order quantity as a percentage of the trade volume of the stock in a given time interval.
Forex
It has both long trade and short trade.
Manual Trading
A process that involves decision-making for entering and exiting trades.
Triangular Arbitrage
It has advanced computer equipment and programs to automate the process.
Long term period
The period of more than one year.
Fuzzy Logic
Fuzzy logic is a mathematical logic that solves problems with an open, imprecise data spectrum. Read how to obtain accurate conclusions with fuzzy logic.