As every theme based industry, the trading scene also comes with a specific terminology that only applies to this particular group of activities. Those not familiar may perceive it as difficult at one point or another, but at closer look those vocabularies are not something that should be hard to acknowledge otherwise. Just like any market, the currencies come with their own separate meanings, just as pronounced by the shorts which have been described in detail.

trading vocabulary

There would be the following examples that the trader use to select whenever they apply and so the examples of currency value would be called accordingly: CHF – Swiss, CAD – Loonie, NZD – Kiwi, AUD – Aussie, GBP – Cable, and so on and so forth. The market makers also apply toward any of the particular environments that are being analyzed, where the downside trend is recognized as bearish, while the upside will be called bullish. Just as a typical bear walks with the head down to earth, the trends on this market will be downward, as on the other hand the bullish horns are pointing upwards.

The following examples can also be applied in terms of dovish and hawkish, as the hawk tends to fly high in the sky above, but the dove tends to stay on ground quite often. The hawkish market will become positive in nature, thus creating a good opportunity to buy call options, as the dovish creates negative occasions for selecting the put options. There are still many more examples that can be listed here, but they tend to be less common that those already described above.