Nasdaq Composite Index
Nasdaq Composite index includes more than 3000 stocks listed on the Nasdaq stock exchange. First introduced in 1971, it is one of three globally-followed US stock market indices along with Dow Jones Industrial Average and S&P 500....
The Relative Strength Index was developed by J. Welles Wilder Jr. and introduced in his book, New Concepts in Technical Trading Systems in 1978. He described and interpreted the indicator and later the work of Brown and Cardwell developed...
Bonds are fixed-income instruments in which the issuer pays interest to the holder of the bond and repays the principal at the maturity date. Interest is usually paid annually, semiannually, or monthly. A bond can be resold in the...
Leverage
Leverage allows investors to trade a much bigger volume than they initially would. Having limited capital investor can borrow a certain amount of the money from the broker and get much bigger market exposure.
Leverage in the forex market is...
Security and Exchange Commission
In the aftermath of the Great 1929 stock market crash, the US government passed the Securities Act of 1933 and the Securities Exchange Act of 1934, which created the Security and Exchange Commission (SEC) with the...
Credit Default Swap is a financial derivative providing insurance in case of a credit event, usually a default on a loan. It provides investors with protection and decreases the risk. If a creditor assumes his borrower will not meet...
LIBOR stands for London Interbank Offered Rate and serves as a globally accepted key benchmark for short-term interest rate indicating borrowing costs between banks. It is produced for five currencies (CHF, EUR, GBP, JPY and USD) and seven tenors...
VIX index was created by Chicago Board Options Exchange (CBOE) in order to provide a measure of stock markets expected volatility in 30-day period. It is also known as the fear index or fear gauge. It is calculated using...
Commodity Channel Index was firstly introduced by Donald Lambert in 1980. Initially, he wanted to analyze and confirm the cyclical turns in commodities. However, the indicator proved to be versatile and applicable to other asset classes.
CCI is a momentum-based...
Monetary easing, relaxation or expansion is set of policies conducted by the central banks in order to push overall price level, to stimulate inflation and aggregate demand. Globally, central banks were using these expansionary policies in order to combat...
