Glossary

L

LEVERAGE

Relation between borrowed and own funds. It is expressed as 1:10, 1:100. Leverage 1:100 means that in order to carry out a transaction the minimal amount at the account shall be 1% of the operation volume.

LIQUIDITY

Option to easily sell or buy a financial asset at market price. High liquidity means high trade activity and volume.

LOCK

Opposite positions opened at the share dealing account  (buy or sell) for a single financial instrument of a certain volume.

LONG

Termin used when open a buy position on Forex market.

LOT

A unit measure of the volume of a financial instrument, standard value of a contract. Standard lot at Forex market is 100,000 units of the base currency.