Trading Terminology

Clear, concise definitions of key trading concepts with real-world examples.

Risk Management

Risk–Reward Ratio → Position Sizing → Drawdown → Maximum Drawdown → Expectancy → Win Rate → Risk of Ruin → Break-even Win Rate →

Price Action

Support → Resistance → Trend → Breakout → Pullback → Market Structure → Break of Structure (BOS) → Change of Character (CHOCH) →

Smart Money Concepts

Liquidity Sweep → Liquidity Pool → Fair Value Gap (FVG) → Order Block → Premium & Discount Zones →

Trading Basics

Pip → Spread → Leverage → Margin → Stop Loss → Take Profit →

Indicators

Moving Average (MA) → RSI (Relative Strength Index) → Fibonacci Retracement →