Tag: T

T-Bill

A short-term obligated investment that is backed by the U.S. government. These bills have maturities of a month (four weeks), three months (13 weeks) or six months (26 weeks). This bill is often called a treasury bill.

Take Profit (T/P)

The type of order specifying the exact price at which it will close out an open position to mark a profit.

Technical Analysis

The art of forecasting price movements through the study of chart patterns, indicator signals, sentiment readings, volume and open interest.

Thin Market

A market is thin when there are few bids and offers. Such a market condition is characterized by low liquidity, high spreads, and high volatility.

Tick

This is the smallest possible movement in the price of a security. A tick may also be called a minimum fluctuation.

Time Value

The amount by which an option’s premium exceeds its intrinsic value. This is also called a time premium.

Trade Balance

A country’s trade balance reflects the difference between exports and imports of goods and services. The trade balance is one of the biggest components of the Balance of Payment, giving valuable insight into pressures on country’s currency.

Trading Plan

A term defining the collection of strategies an investor adheres to when trading the markets.

Trading Volume

The number of trades executed during a certain period.