Forex Glossary

Category: General Financial Terms

Category: General Financial Terms

  • Accrual →

    Accumulation of interest on an investment, usually dependent on some kind of percentage or formula. In Forex trading, interest is accrued on open positions through rollover interest.

  • Appreciation →

    An increase in the value of an asset or currency.

  • Coupon →

    Represents the rate of interest on a fixed interest security like a bond.

  • Coupon Value →

    The annual rate of interest on a fixed interest security like a bond.

  • Currency →

    A form of money used by a country and issued by that country government as a unit of exchange

  • Delivery →

    The settlement of a transaction by receipt or tender of a financial instrument or currency.

  • Delivery Date →

    The date of maturity of the contract, when the final settlement of transaction is made by exchanging the currencies.

  • Delivery Risk →

    An additional risk to be factored into any transaction.

  • Devaluation →

    The act by a government to lessen the external value of its currency.

  • Discount Rate →

    The interest rate the federal reserve bank charges to banks for borrowing its money.

  • Dollar Rate →

    A variable amount of a foreign currency is quoted against one US Dollar.

  • Domestic Rates →

    The interest rates applicable to deposits domiciled in the country of origin. Value and values may vary from Euro deposits due to taxation and varying market practices.

  • Dovish →

    The sentiment of the central bank when it is looking to stimulate the economy and feels rates are too high for its policy.

  • Financial Account →

    Measures the difference between domestic ownership of foreign assets and foreign ownership of domestic assets.

  • Fiscal Policy →

    Use of taxation as a tool in implementing monetary policy.

Forex Trading Terms (Alphabetical)