Call OptionIt is a contract that gives a buyer the right to buy a specific asset at a specific price on a specific date of expiry. The buyer is never obliged to do this, however. The value of a call option appreciates, if the asset’s market price goes up.
Candlestick Chart A chart that indicates the trading range for the day as well as the opening and closing price. If the open price is higher than the close price, the rectangle between the open and close price is shaded. If the close price is higher than the open price, this area of the chart is not shaded.
Cash FlowThis is the amount of money coming into and going out of company’s accounts. It is reported in the company’s earnings announcements.
Closing PriceThis is the last level at which an asset was traded before the market closed on any given day. Closing prices are used as a marker, when the assets’ movements over a longer period of time are evaluated.
Collateral This is an asset given to secure a loan or as a guarantee of performance.
Commission It is the charge which an instrument broker levies for making traders on a trader’s behalf.
Commodity It is a basic physical asset, used as a raw material in the production of goods or services. In trading, commodities are of four types: metals, energy, agricultural, and livestock. The most common examples of commodities traded these days at financial markets are oil, natural gas, gold, silver, platinum, grains, and beef.
Contracts for Difference (CFDs)This is a type of financial derivative used in CFD trading. they are used to trade a variety of financial markets like shares, foreign exchange, commodities, indices, and bonds.
Counter CurrencyThis is the second currency listed in a currency pair.
CPI This is a Consumer Price Index, an average of several consumer goods and services used to give an indication of inflation.
Currency This is any form of money issued by a government or central bank and used as legal tender and a basis for trade.
Currency OptionIt is a type of option contract that gives the holder the right to buy or sell a currency pair at a given price before a set time of expiry. The buyer is not obliged to do so, however. The holder of the option pays a premium to the seller.
Currency PairThese are the two currencies that make up a foreign exchange rate. For example, EUR/USD (Euro/U.S. Dollar).
Current AccountThis is the sum of the balance of trade (exports minus imports of goods and services), net factor income (interest and dividends), and net transfer payments (foreign aid). The balance of trade is typically the key component to the current account.
Current RatioIt is a measure used to establish a company’s ability to sell its tangible assets to pay off its short-term debt. The current ratio is useful in establishing the liquidity position of a business.
