A trade that closes at a price higher than the “Strike Price”, also known as the “Exercise Price”, which is the underlying “Asset” or “Instrument” at the time the trade is placed.
The price that a seller is willing to accept for a specific asset or security, i.e., the price at which an investor can purchase an asset or security.
The “Asset” or “Instrument” is the underlying index, stock, commodity, or currency on which each online trading contract is based.
AT THE MONEY
When the underlying “Asset” or “Instrument” price is the same as the original “Strike Price”, also known as the “Exercise Price”.
A formal term used to describe a trade that closes lower than the original “Strike Price”, also known as the “Exercise Price”.
The price at which an investor is able to sell an asset or security, or the price at which a bank or brokerage is willing to purchase an asset from a private investor.
Commodity is a general term for raw materials produced by a variety of sectors including energy, food, and metals; e.g., Gold, Oil, Silver, and Coffee are examples of Commodities.
Currencies are national forms of banknotes/coins. Currencies are organized into pairs for forex trading. E.g., EUR/USD; GBP/USD
DECLARATION OF DEPOSIT (DOD)
IN THE MONEY
An online trading contract is ‘’in-the-money’’ when the predicted direction for the price movement on the underlying asset turns out to be correct.
An Index is a list of securities representing a particular section of a financial market which acts like an imaginary portfolio. It is usually representative of a broad portion of a given market, but can also be focused around a particular industry. Examples of ‘’Indices’’ are: US Dow Jones Index; UK FTSE; Japanese Nikkei.
OUT OF THE MONEY
The percentage amount that the trader will receive in an online trade.
A Pip or “Point In Percentage” is any of up to four “decimal points” to the right of the decimal in price values. For example, 0001 = 1 pip; 0010 = 10 pips; 1.4567 = 1 plus four thousand five hundred and sixty-seven pips.
Signals are created by financial analysts with the intention of alerting online trading investors to exciting investment opportunities. Signals are sent as brief email bulletins. Signals should be regarded as a guide only and cannot be 100% accurate.
The Spot Follow tool allows you to monitor the performance of other investors on the Stern Markets platform, giving you the ability to view the degree of successful or unsuccessful price direction positions.
The amount of money invested in an online trading contract.