What Is a Breakout in Trading? Momentum & Level Penetration
A breakout occurs when asset price moves beyond a defined support or resistance boundary with expanding volume and directional momentum.
Read definitionGlossary
Clear explanations of the market, macro, and trading terms used across MyTrade Academy.
What Is a Bull Trap in Trading? False Upside Breakouts Explained
A bull trap is a deceptive chart pattern where price breaks above resistance, luring buyers into long positions right before collapsing lower.
Read definitionWhat Is a Candlestick Body? Net Displacement Explained
The body is the distance between the open and the close of a candle. It records net directional displacement, not the full story of the window.
Read definitionWhat Is a Candlestick Wick? Traces of Rejected Territory
A wick, or shadow, is the line above or below a candle's body showing where price was rejected. It records price exploration that was pushed back before the close.
Read definitionWhat Is a Central Bank Balance Sheet?
A central bank balance sheet records the assets it holds and the liabilities it issues. Changes in its size and composition can influence liquidity and longer-term financial conditions.
Read definitionWhat Is a Central Bank? Monetary Policy, Mandates, and Market Influence
A central bank is an apex national institution responsible for monetary policy, currency issuance, financial stability, and setting benchmark interest rates.
Read definitionWhat Is a CFD? Why a Contract for Difference Is Not the Underlying Asset
A CFD settles the price difference between opening and closing a leveraged over-the-counter position. It can reference stocks, indexes, gold, or forex without giving the trader ownership of those assets.
Read definitionWhat Is a Commission? The Explicit Fee on Every Trade
A commission is the fee a broker charges per trade. It is the most visible line of the cost bill — and often not the largest one.
Read definitionWhat Is a Continuation Pattern? Pauses Along an Existing Trend
A continuation pattern is a chart formation signaling that the market is taking a temporary pause before resuming its prevailing directional trend.
Read definitionWhat Is a Contract Specification?
A contract specification defines the standardized economic and trading terms that determine what one unit of a product actually represents.
Read definitionWhat Is a Crowded Trade?
A crowded trade occurs when many investors hold similar exposures or rely on similar assumptions. Crowding can amplify an unwind but does not tell you when one will begin.
Read definitionWhat Is a Crypto Wallet? Public Addresses and Private Keys
A crypto wallet does not store coins inside software; it holds the cryptographic keys needed to access and authorize transactions on a blockchain.
Read definitionWhat Is a Currency Pair?
A currency pair quotes the value of one currency relative to another, so every FX move is inherently a relative-price move.
Read definitionWhat Is a Currency Pair? Base, Quote, and Exchange Rate Mechanics
A currency pair expresses the relative quotation value of one national currency against another. Understand base and quote currency mechanics in forex.
Read definitionWhat Is a Derivative? Why Its Value Comes From an Underlying Market
A derivative is a contract whose value is linked to an underlying asset, index, rate, or other reference. Futures, options, and swaps can reference the same market while producing very different payoffs.
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