| En Term | En Description |
|---|---|
| Free margin | determines the state of an account. Calculated according to the formula: Equity - Margin = Free margin |
| Hedging | operation that protects an asset or liability against a fluctuation in the foreign exchange rate |
| Initial margin | the funds cover required by the company for maintenance of open positions |
| Intraday trade | trade oriented at gaining profit within one day |
| Lot Size | a quantity base currency in one lot, that is specified in the contract |
| Margin trading | using borrowed money to buy securities, with the expectation of increasing profits. Margin trading can bring big returns, but is also risky |
| Market opening | trade opening after a weekend, holidays or after an interval between trading sessions |
| Market opening price gap | either of the following situations: – Market opening quote Bid is greater than market closing quote Ask; – Market opening quote Ask is less than market closing quote Bid |
| Market-makers | major banks and financial firms that pledge to provide liquidity by accepting the other side of a trade in a currency, security or futures contract |
| Non-trading operation | depositing or withdrawing funds from a trading account, or extending credit |