A fundamental indicator that changes after the economic conditions it describes or a technical indicator that follows price movements. Moving averages and quarterly earnings are lagging indicators.
An indicator used to forecast an economic change. PMIs and bond yield curves are examples of leading indicators.
An investment provided by a broker or other provider alongside an investor’s investment, enabling the trader to place a position of a higher value than his/her principal would otherwise allow. Leverage is quoted as the ratio between the trader/investor's principal (margin) and the broker’s investment.
A pending order that enables an investor to buy or sell an asset once it reaches a pre-defined price.
In finance, a 2-dimensional plotting of value over time.
The availability of an asset. A liquid market entails a high number of bids and offers, low volatility and (consequently) lower spreads.
A position that is profitable (in the money) if an asset’s value rises.
An amount or measurement. In forex – a standard unit of 100,000 currency pair units.