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Correlation Definition
What is correlation? Correlation is a statistical measure that shows how two assets, markets, or variables move in relation to one another. It helps traders understand whether prices tend to move in the same direction, in opposite directions, or independently. In simple terms, correlation measures the relationship between two price movements. Correlation is usually expressed Continue Reading
Written on September 4, 2026 at 9:07 am
Categories: Trading Glossary
Tags: General Finance
Current Assets Definition
What are current assets? Current assets are assets that a business expects to convert into cash, sell, or use within one year or one operating cycle. They represent resources that support a company’s day-to-day operations and short-term financial obligations. In simple terms, current assets are assets that can be readily accessed or turned into cash Continue Reading
Written on September 4, 2026 at 9:07 am
Categories: Trading Glossary
Tags: General Finance
Deflation Definition
What is deflation? Deflation is a sustained fall in the general level of prices for goods and services across an economy. As prices drop, each unit of currency buys more than before, which sounds positive but can signal deeper economic problems. In simple terms, deflation is when prices fall over time and money gains purchasing Continue Reading
Written on September 4, 2026 at 9:07 am
Categories: Trading Glossary
Tags: Markets
Depth of market (DOM) Definition
What is depth of market (DOM)? Depth of market, often shown as the DOM, is a real-time list of the buy and sell orders waiting at different price levels for an asset. It reveals how much demand and supply sits above and below the current price, giving a view of short-term liquidity. In simple terms, Continue Reading
Written on September 4, 2026 at 9:07 am
Categories: Trading Glossary
Tags: Trading Basics
Derivative Definition
What is a derivative? A derivative is a financial contract whose value is based on the price of an underlying asset, such as a currency, share, commodity or index. It lets traders gain exposure to price movements without necessarily owning the underlying asset itself. In simple terms, a derivative derives its value from something else. Continue Reading
Written on September 4, 2026 at 9:07 am
Categories: Trading Glossary
Tags: General Finance
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