Part 5 Terminology Glossary Flashcards
Selling Pressure
Indicates downward pressure on prices caused by increased selling activity.
Setup
A predefined condition or criteria used to identify potential trade opportunities.
Shaved Body
A price bar with a very small body relative to its high and low, indicating indecision or equilibrium between buyers and sellers.
Short
A trading position that benefits from a decrease in price.
Shrinking Stairs
A pattern characterised by a series of lower highs and lower lows, indicating a gradual decline in prices.
Signal Bar
A price bar that triggers a trading signal based on predefined criteria or trading strategy.
Smaller Time Frame (STF)
A shorter-term perspective on price action, typically referring to charts with shorter time intervals.
Small Pullback Bear Trend
A minor retracement in a bearish trend, often seen as a selling opportunity.
Small Pullback Bull Trend
A minor retracement in a bullish trend, often seen as a buying opportunity.
Smart Traders
Experienced and knowledgeable traders who make informed trading decisions based on market analysis and risk management.
Spike and Channel
A price pattern characterised by a sharp spike followed by a period of consolidation within a channel.
Stair
A price pattern characterised by a series of steps or stages in price movement.
STF
Abbreviation for “smaller time frame.”
Strong Bulls and Bears
Market participants who exert significant influence on price movement due to their large trading positions or market dominance.
Success
The achievement of desired trading outcomes or profitability.
Surprise Bar
A price bar that catches traders off guard due to its unexpected size or direction.
Swing
A price movement from one extreme to another within a trading range or trend.
Swing High
The highest point reached by price movement within a specified period.
Swing High/Low
The highest/lowest point reached by price movement within a specified period.
Swing Low
The lowest point reached by price movement within a specified period, often used as a reference point for analysis or trade setups.
Swing Trade
A trading strategy that aims to profit from short- to medium-term price swings within a trend.
Swing Point
A significant high or low in price movement, often used as reference points for analysis or trade setups.
Test
A price movement that tests a significant level of support or resistance.
Three Pushes
A price pattern characterised by three consecutive attempts to breach a significant level of support or resistance.
Tick
The smallest possible price movement in a financial market.
Tight Channel
A price channel characterised by narrow fluctuations in price movement.
Tight Trading Range
A narrow range of price movement within a trading session or period.
Time Frame
The duration or interval used to display price data on a chart.
Tradable
A price movement or pattern that offers potential trading opportunities.
Trader’s Equation
The balance between potential reward and risk in a trade, often expressed as a ratio.
