Financial Terms

Leverage

Covering part of the asset's value by a lender, such as a broker. In this case, the asset itself plays the role of collateral for the loan, and the lender receives interest for a specified period. For

Liquidity

Reflects the ability to quickly convert one asset to another (including cash) at fair market value. Accordingly, highly liquid assets, such as certain types of currencies, are easy to exchange, while

Long position (bullish play)

The standard operating principle is when a trader expects a further rise in the price of an asset and seeks to buy it as cheaply as possible in order to sell it at the moment when the price is close t