D

Day Trading

Opening and closing the same position(s) within the same trading session, taking advantage of market fluctuations, usually by employing large amounts of leverage, in order to profit from relatively small movements in price. The most common markets for day traders are the Forex and Stock Markets.

 

Dealer

An individual or firm that acts as a principal or counterpart to a transaction. The principals take one side of a position, hoping to earn a spread (profit) by closing out the position in a subsequent trade with another party. In contrast, a broker is an individual or firm that acts as an intermediary, putting together buyers and sellers for a fee or commission.

 

Deficit

A negative balance of trade or payments

 

Delivery

An actual delivery where both sides transfer possession of the currencies traded.

 

 

Deposit

The borrowing and lending of cash. The rate that money is borrowed/lent at is known as the deposit rate or depo rate. Certificates of Deposit (CD`S) are also tradable instruments.

 

Depreciation

A decline in the value of a currency due to market forces.

 

Derivative

A contract that changes in value in relation to the price movements of a related or underlying security, future, or another physical instrument. An Option is the most common derivative instrument.

 

Devaluation

The deliberate downward adjustment of a currency's price, normally by official announcement.

 

Dove

In economics, a dove refers to a central banker or economic advisor who is in favour of policies that keep interest rates low, reasoning that inflation is not an imminent threat to the country or economic bloc in question. When these individuals make statements in the press to this effect, these statements are referred to as being “dovish”.

 

Dormant Account

A dormant or inactive accounts are considered any accounts which over a certain period of consecutive days there were no trading activities.

Other terms

All terms

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