What Is a Stock Index? A Rule Set That Measures a Basket
A stock index is a defined list of companies combined by a weighting rule. It is a measurement, not a portfolio you can hold or buy directly.
Read definitionClear explanations of the market, macro, and trading terms used across MyTrade Academy.
A stock index is a defined list of companies combined by a weighting rule. It is a measurement, not a portfolio you can hold or buy directly.
Read definitionA stock represents an ownership interest in a company. Understanding shareholder rights, earnings, valuation, and business risk is the foundation for thinking about stocks as more than ticker symbols.
Read definitionA stop loss defines when a trade should be exited. It can control losses in normal markets, but gaps and thin liquidity can produce fills that are materially worse than the trigger price.
Read definitionA stop order is a conditional instruction that remains dormant until a specified trigger price is reached, converting into an executable order.
Read definitionA strategic petroleum reserve is an emergency government-controlled stockpile of crude oil or petroleum products designed to cushion severe supply disruptions.
Read definitionA supply shock is a sudden change in the amount of a good or service available to the market, often caused by conflict, outages, weather, sanctions, or policy changes.
Read definitionA take-profit closes a trade at a preset price. It is simple and consistent, but it can leave an extended move on the table if price keeps running beyond the target.
Read definitionA time stop closes a trade when its thesis window ends, regardless of profit or loss. It prevents a position from overstaying an idea that no longer applies.
Read definitionA timeframe is how trades are grouped into candles on a chart. It changes the resolution of observation — not the market itself.
Read definitionA trade execution checklist is a short pre-trade gate that verifies critical order and risk fields before submission.
Read definitionA trade log is an objective record of execution data—timestamps, tickers, fill prices, quantities, fees, and realized P&L—answering what happened in the market.
Read definitionA trade review examines whether the plan was followed and separates a fixable process problem from ordinary variance. It judges decisions, not single-trade P&L.
Read definitionA trade setup is the pre-existing technical or market condition that creates a favorable environment for placing a trade.
Read definitionA trade thesis is the reason a trade exists: the market view and the evidence that would make it right. It also names what would invalidate it.
Read definitionA trading journal is a structured record of pre-trade rules, facts, execution, risk, outcome, and later review.
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