Purchasing power is a term used to determine the quantity of the goods and services that one unit of a certain currency can buy. Purchasing power is a perfect tool in order to see the inflation rate of the country – the higher the inflation the lower is the purchasing power.

Turnover is a term that defines the speed with which a business can acquire and get rid of the assets. In trading world turnover defines a percentage of an account that is sold in a span of a month. The higher the turnover is the higher is the commission for a trader.

Relationship between assets are often interconnected and tangled. The term that is used to describe the relations between certain assets is assets correlation. The best example of assets correlation if the relationship between gold and dollar. As we know when dollar goes up, per-ounce price for gold is falling. When the greenback is getting weaker, gold gains price.

High-frequency trading is a type of algorithmic trading that includes electronic trading toolS and leverages high-frequency trading data. It is often characterized by extremely high turnover rates as well as high order-to-trade ratio.

Reward risk ratio is another trading tool that can help a trader determine whether the risk they are taking with a certain trade is worth all of the potential winnings. in combinations with win rate can be one of the most important trading tools in the market.

A win rate is a ratio of your trading win to your trading losses. The higher is the ration, the more wins you have. Win rate can also be used as a trading tool that defines how many traders have gone out of a trade with profits rather than losses. Works the best together with reward-risk ratio.