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- Market cycles – the time frame which records the trajectory of the market and are a key indicator for technical analysis
- Market capitalisation – also known as market cap, is the value of a market
- Technical analysis – also referred to as TA, is the process of analysing the historical data of the market on charts
- Fundamental analysis – also referred to as FA, is the process of analysing the environment of your chosen trade. This includes; industry news, company management, and news, financial stability, micro, and macro-economic factors
- Candlestick– one of the main indicators of a chart that display the price movements via green and red candles
- Volatility– when a market is said to be volatile, it means that there are rapid changes and swings, which makes it valuable for traders
- Daily volume – the total amount of buys and sells executed per 24 hours
- Bubble– when a market is in a ‘bubble’ state, that means that it is currently valued much higher than it should be, and it is expected to ‘burst’ soon which will cause a drastic decline
- Bull Market & Bear Market – whenever a price is rising within a sustainable amount of time, we’re talking about the bull market. Vice versa, whenever the price is on a decline, we’re referring to it as a bear market. Those terms are also a vital part of the Market Sentiments
- IPO (Initial Public Offering) & ICO (Initial Coin Offering) – as their names suggest, those terms refer to the opportunity to buy a stock or a coin, before it is officially released to the exchanges. Usually, early investment of that kind could be very rewarding as the initial price is often really lucrative
- Hedge– a way to protect the investor from a loss similar to an insurance
- Leverage– borrowed funds used to invest in an asset
- Portfolio– a collection of assets held by the investor
- Whale– particularly wealthy investors who can drastically change the market’s direction
- FOMO (fear of missing out) & FUD (Fear, uncertainty, and doubt) –those emotionally based attitudes of the investors are capable of moving the market’s direction. They also play a vital part in the FA
- DYOR (do your own research) – you’ll encounter this abbreviation a lot, and it’s usually used when someone gives advice, but at the end, you have to do your own research and don’t follow any advice blindly
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