Lots, leverage and margin – don’t go anywhere near the trading world before you fully udnerstand these three concepts.
The FTSE 100 Stock Market Index (the ‘footsie’), is an index made up of 100 companies listed on the London Stock Exchange.
A tick is, therefore, the smallest possible price change for any commodity-based instrument and the size of a tick is unique to each instrument in question.
A tick is defined as the smallest price movement of an instrument, in other words, the minimum increment in which the price can change.
Natural gas and heating oil can both be categorized as distillate energies, or distillates, whereas natural gas is a commodity extracted by drilling for gas deposits often found alongside crude oil reserves.
The CAC 40 is a French stock market index. that measures the performance of the 40 largest, publicly traded companies on the Euronext Paris France’s securities market.
The Dow Jones Industrial Average (also known as the DJ30 or just Dow) is the oldest stock index in the world and was first calculated on May 26, 1896.
The S&P 500 contains all of the stocks in the Dow Jones with an additional number from the Nasdaq and others, making it a better gauge of the US economy.
The Deutscher Aktien IndeX, consists of 30 large, blue-chip German companies trading on the Frankfurt Stock Exchange.
A contract for difference (CFD) is a derivatives product, which means that instead of owning the underlying asset you trade on the movement of underlying prices.