Monthly Archives: September 2026
Limit order Definition
Written on September 3, 2026 at 5:03 pm, by wwwvftradingsc
What Is a Limit Order and How Does It Work? A limit order is an instruction to buy or sell a financial instrument at a specified price or better — rather than at the current market price. When you place a limit order, your trade will only execute if the market reaches your target price, Continue Reading
Liquidity provider Definition
Written on September 3, 2026 at 5:03 pm, by wwwvftradingsc
What Is a Liquidity Provider and What Role Do They Play? A liquidity provider is a market participant — typically a large financial institution, bank, or specialist firm — that continuously offers to buy and sell financial instruments at quoted prices. By maintaining two-sided quotes (bid and ask), they ensure that other traders can enter Continue Reading
Lock limit Definition
Written on September 3, 2026 at 5:03 pm, by wwwvftradingsc
What Is a Lock Limit in Futures Trading? A lock limit is a price boundary set by an exchange beyond which a futures contract is not permitted to trade. Once the price of a futures contract reaches the lock limit — either on the upside or downside — trading in that contract effectively halts for Continue Reading
London session Definition
Written on September 3, 2026 at 5:03 pm, by wwwvftradingsc
What Is the London Session and When Does It Start? The London session refers to the period during which the London financial markets are open for trading. As the largest forex trading centre in the world, London generates a disproportionate share of global daily forex volume — typically accounting for over 30% of total FX Continue Reading
Long-legged doji Definition
Written on September 3, 2026 at 5:03 pm, by wwwvftradingsc
What Is a Long-Legged Doji Candlestick Pattern? A long-legged doji is a candlestick pattern characterised by a very small real body positioned at or near the centre of the candle, with equally long upper and lower shadows (wicks). The small body shows that the open and close prices were nearly identical, while the extended shadows Continue Reading
Lot-based commission Definition
Written on September 3, 2026 at 5:03 pm, by wwwvftradingsc
What Is a Lot-Based Commission in Trading? A lot-based commission is a fee charged by a broker for facilitating a trade, calculated according to the number of lots traded rather than as a fixed flat rate. Instead of widening the spread to recover costs, brokers using this model charge a transparent per-lot fee on each Continue Reading
Lot Definition
Written on September 3, 2026 at 5:03 pm, by wwwvftradingsc
What Is a Lot in Trading and Why Does It Matter? A lot is the standard unit used to measure the size of a trade in financial markets. In forex, one standard lot equals 100,000 units of the base currency. Lot sizes determine how much of a currency pair, commodity, or index you are buying Continue Reading
Knock-in barrier option Definition
Written on September 3, 2026 at 5:03 pm, by wwwvftradingsc
What Is a Knock-In Barrier Option and How Does It Work? A knock-in barrier option is a type of exotic option that only becomes active — and only grants the holder any rights — once the underlying asset’s price reaches a specific predetermined level, known as the barrier. Until the barrier is breached, the option Continue Reading
Knock-in option Definition
Written on September 3, 2026 at 5:03 pm, by wwwvftradingsc
What Is a Knock-In Option in Options Trading? A knock-in option is an exotic option contract that becomes active only when the underlying asset’s price reaches a specified level — the knock-in barrier — during the option’s lifetime. Before the barrier is touched, the option has no value and cannot be exercised. Once the price Continue Reading
Knock-out option Definition
Written on September 3, 2026 at 5:03 pm, by wwwvftradingsc
What Is a Knock-Out Option and How Does It Get Cancelled? A knock-out option is a type of exotic option that starts as an active, exercisable contract but becomes permanently invalid — ‘knocked out’ — if the underlying asset’s price reaches a predetermined barrier level at any point before expiry. Once the barrier is touched, Continue Reading
