A trading strategy is a set of analyses that a forex trader uses to determine whether to buy or sell a currency pair at any given time. Forex trading strategies can be based on technical analysis, chart analysis, or fundamental, news-based events. The trader’s currency trading strategy is usually made up of trading signals that trigger buy or sell decisions. Trading strategies are available on the internet or may be developed by traders themselves.
A pip is the smallest price move that a given exchange rate makes based on market convention. Since most major currency pairs are priced to four decimal places, the smallest change is that of the last decimal point; for most pairs, this is the equivalent of 1/100 of 1%, or one basis point.
A stock market, equity market or share market is the aggregation of buyers and sellers (a loose network of economic transactions, not a physical facility or discrete entity) of stocks (also called shares), which represent ownership claims on businesses; these may include securitieslisted on a public stock exchange as well as those only traded privately.
A stock trader is an investor in the financial markets. Stock traders can be individuals or professionals trading on behalf of a financial company. Stock traders participate in the financial markets in various ways.
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