Glossary of trading terms
AI Trading
Automated trading using artificial intelligence to analyze data and execute trades.
Altcoin
Any cryptocurrency that isn’t Bitcoin (e.g., Ethereum, Litecoin, Solana).
Arbitrage
A strategy where traders exploit price differences of the same asset across different markets.
Backtesting
Evaluating a trading strategy using historical data to assess its effectiveness.
Bear Market
A market trend where asset prices consistently decline over time.
Blockchain
A distributed ledger technology enabling transparent and secure transaction recording, foundational for cryptocurrencies.
Candlestick
A charting method displaying open, close, high, and low prices for a specific period.
Copy Trading
A strategy where traders automatically replicate the trades of successful traders.
Crypto Wallet
A digital wallet used to store cryptocurrencies securely.
DeFi (Decentralized Finance)
Financial services on blockchain networks without intermediaries like banks.
Dip
A short-term decline in asset price, often seen as a buying opportunity.
Drawdown
A percentage reduction in account value from its peak to its lowest point.
Economic Calendar
A tool that tracks upcoming macroeconomic events affecting financial markets.
ETF (Exchange-Traded Fund)
A fund traded on stock exchanges that tracks the value of assets like stocks or commodities.
Ethereum
A leading cryptocurrency and platform for decentralized applications.
Fiat Currency
Government-issued currency, such as the dollar, euro, or pound.
Flash Crash
A sudden, dramatic drop in an asset’s price within a short time.
FOMO (Fear of Missing Out)
A psychological effect where traders make decisions out of fear of missing profit opportunities.
Match-Trader
A cutting-edge trading platform available on Y4Trade. It offers user-friendly features, integrated TradingView charts, and compatibility with Windows, iOS, Android, and web browsers.
MetaTrader 4 (MT4)
A popular platform for Forex and CFD trading, known for advanced technical analysis tools and automated trading capabilities.
MetaTrader 5 (MT5)
The upgraded version of MT4, featuring more tools, asset classes, and enhanced analytical capabilities.
Naked Shorting
Selling an asset a trader doesn’t own, often prohibited by regulations.
News Indicator
A platform-integrated tool that alerts traders to important economic events in real time.
NFT (Non-Fungible Token)
A blockchain-based digital asset representing a unique item, such as art or collectibles.
Scalping
A short-term trading strategy focused on small profits from multiple trades.
Stablecoin
A cryptocurrency pegged to the value of fiat currencies like the USD.
Staking
Locking cryptocurrencies to support blockchain operations in exchange for rewards.
Tokenomics
The economics and features of cryptocurrency tokens.
Trading Bot
Software that automates trading based on preset parameters.
Trailing Stop
A dynamic stop-loss order that adjusts to favorable price movements.

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