Monthly Archives: September 2026
Market maker Definition
Written on September 4, 2026 at 9:07 am, by wwwvftradingsc
What Is a Market Maker A market maker is a financial institution that provides liquidity to a market by continuously quoting both buy and sell prices for a financial instrument, ready to transact on either side. By doing so, market makers help ensure that buyers and sellers can trade without needing to wait for a Continue Reading
Monetary base Definition
Written on September 4, 2026 at 9:07 am, by wwwvftradingsc
What Is Monetary Base The monetary base is the total amount of currency in circulation in an economy. It typically includes physical currency held by the public and by banks, as well as reserves that commercial banks hold with the central bank. It is sometimes referred to as “base money” or “narrow money,” forming the Continue Reading
Joint venture Definition
Written on September 4, 2026 at 9:07 am, by wwwvftradingsc
What Is a Joint Venture in Business and Finance? A joint venture (JV) is a business arrangement in which two or more parties agree to pool resources — capital, technology, personnel, or market access — to pursue a specific commercial objective. Unlike a merger, a joint venture does not result in the permanent combination of Continue Reading
Known-unknowns Definition
Written on September 4, 2026 at 9:07 am, by wwwvftradingsc
What Are Known-Unknowns in Risk and Market Analysis? Known-unknowns are risks or uncertainties that a decision-maker is aware of but cannot accurately quantify or predict in advance. The phrase captures a specific category of risk: you know the risk exists — you simply do not know when, how, or to what degree it will materialise. Continue Reading
LIBOR Definition
Written on September 4, 2026 at 9:07 am, by wwwvftradingsc
What Is LIBOR and Why Did It Matter? LIBOR — the London Interbank Offered Rate — was a globally used benchmark interest rate at which major banks indicated they were willing to lend to one another in the interbank market. Published daily across five currencies (USD, GBP, EUR, JPY, CHF) and seven maturities (overnight to Continue Reading
Liquidity Definition
Written on September 4, 2026 at 9:07 am, by wwwvftradingsc
What Is Liquidity in Finance and Trading? Liquidity refers to the ease with which an asset can be converted into cash without significantly affecting its market price. A highly liquid asset can be bought or sold quickly at a stable price, while an illiquid asset may require more time to find a buyer — often Continue Reading
Market risk Definition
Written on September 4, 2026 at 9:07 am, by wwwvftradingsc
Defining Market Risk Market risk is the risk of loss arising from adverse movements in market prices. It affects nearly every tradable asset, from currencies and shares to commodities and indices. Unlike risks specific to a single company or instrument, market risk often stems from broader factors such as interest rate changes, economic data, geopolitical Continue Reading
Harami Definition
Written on September 4, 2026 at 9:07 am, by wwwvftradingsc
What Is a Harami Pattern? A harami is a two-candle pattern that can signal a potential trend reversal or pause in momentum. It forms when a small candle is contained entirely within the real body of the larger candle that precedes it. The name comes from the Japanese word for ‘pregnant’, which describes the way Continue Reading
Hedge ratio Definition
Written on September 4, 2026 at 9:07 am, by wwwvftradingsc
What Is a Hedge Ratio? A hedge ratio measures how much of a position is protected against risk. Expressed as a percentage, a hedge ratio of 0% indicates a fully unhedged position, while a ratio between 1% and 100% represents the proportion of exposure that is hedged. It helps traders understand how exposed they remain Continue Reading
Inflation Definition
Written on September 4, 2026 at 9:07 am, by wwwvftradingsc
What Is Inflation? Inflation is the increase in the general level of prices for goods and services over time, which reduces the purchasing power of a currency. As inflation rises, each unit of currency buys slightly less than before. It is one of the most closely watched economic measures because it influences interest rates, monetary Continue Reading