cash deposit

The deposit is a performance guarantee, and a certain proportion of funds must be invested as proof of the order holding when opening the position.

Net worth/value

That is, the profit and loss of the open position has been included in the actual balance shown in the calculation, which will change with the profit and loss of the position.

Margin ratio

Net value ÷ used margin = margin ratio. When the margin ratio is lower than 30%, the system will carry out forced liquidation.

Available profit

Net value-used profit = available profit

Hold a position overnight

All overnight positions must be paid at the interest rate stipulated by Elon Financial, and displayed in the "Inventory Fee" column of "Terminal-Transaction" of the trading platform after the settlement time of the next day.

Overnight interest settlement

According to the international banking practice, the interest will be delayed by T+2, that is, the calculation will start after the working days of the two banks. The following is a description of the calculation of T+2 interest-bearing days:

A. When trading positions from Monday to Tuesday, calculate the interest from Wednesday to Thursday, and the number of days is 1 day.

B. If the trading position is held from Tuesday to Wednesday, the interest will be calculated from Thursday to Friday, and the number of days is 1 day.

C. The trading position from Wednesday to Thursday shall bear interest on Friday, Saturday and Sunday for three days.

D. Trading positions from Thursday to Friday, with interest calculated from Monday to Tuesday, and the number of days is 1 day.

E. For trading positions from Friday to next Monday, calculate the interest from Tuesday to Wednesday, and the number of days is 1 day.

So usually, customers who hold positions on Wednesday will charge three times the overnight interest.

Score gap

The spread is the difference between the buying price and the selling price given in the trading platform, and it is also the transaction cost of opening a position. When opening a position, the company will charge a spread fee. Under the normal market fluctuation of our company, the price difference is fixed, but when the liquidity of the product market is insufficient, our company will adjust the price difference accordingly according to the market fluctuation at that time.

Long/short position

The number of contracts that are not hedged and "bought up" indicates that the contracts are in a long position, also known as "long position". A sell contract is a short position, also known as "shorting".

gearing

Leverage ratio refers to the ratio between the margin required when opening a position and the contract value of a commodity. That is, contract value ÷ initial margin = leverage ratio of goods. The leverage ratio of London gold and London silver is about 1-250 times. Please refer to the following example to calculate the leverage ratio: Suppose London gold is 1350 USD/oz. The contract value of 1 lot is about135,000 USD (the latest offer is 1350 USD/oz × 1 lot × contract unit 100 oz = contract value is135,000 USD), and the transaction is conducted.

Contract unit

The contract unit for each lot of London gold is 100 ounce; London silver's contract unit is 5000 ounces per lot; The contract unit of each lot of foreign exchange is 100000 base currency.

main points

The smallest unit of quotation change in a transaction is a point. Take Euro/USD as an example. If the euro/dollar exchange rate rises from 1.2548 to 1.2549, the change is only a point.

(of investors) buy in

Opening a position refers to establishing an order. If you predict that the price of a product will rise, you need to "buy" to open a position. If you predict that the price of a product will fall, you need to "sell" to open a position. "Market transaction" is to open a position according to the latest market price, while "pending orders" can set the transaction price by themselves. When the market price reaches the set price, the system will automatically open the position.

Clearance/liquidation

End a previously bought (sold) transaction by selling (buying) an equal number of contract transactions. That is, the order to buy a position is closed at the selling price; Sell the order to open the warehouse and close the position at the purchase price.

compulsory liquidation

There is not enough margin available in the account of the trading account holder. When the margin ratio in the account reaches or falls below 30%, the system will forcibly close the account holder according to the order with the largest loss amount until the margin ratio returns to above 30%.

market deal

Transactions with the latest commodity quotations must be conducted within the trading scope. If the commodity price fluctuates violently and the price exceeds the trading range, the trading order cannot be executed.

financial market

Position is a market agreement, which promises to buy and sell the initial position of the contract, and the buyer of the contract is long and expected to rise; The selling contract is short and in the expected position.

Order type

An order is an instruction provided by a trader to execute a transaction. The customer terminal includes the following types of orders: market transaction, pending order transaction, stop loss/profit and trailing stop.

Pending order transaction

Pending order transaction means that customers can set an expected closing price by themselves. When the market quotation reaches the price set by the customer, the system will automatically execute the trading order. Pending orders are valid for up to one trading week. There are four types of pending orders:?

1. buying limit: it is expected that the price will fall to a certain price first, and then rebound and continue to rise. When there is more profit margin, a buying limit can be established. When the future purchase price is equal to the set transaction price of the pending order, automatically buy and open the position. The trading price of London gold should be at least 200 points lower than the latest price.

2. Selling price limit: it is expected that the price will rise to a certain price first, then rebound and turn into a continuous decline. When there is more profit margin, a selling limit can be established. When the future selling price is equal to the set transaction price of the pending order, the warehouse will be automatically sold. The trading price of London gold should be at least 200 points higher than the latest price.

3. Buy Stop Loss: It is expected that the price will continue to rise after rising above a certain price, and a stop loss can be established to pay the bill. When the future purchase price is equal to the set transaction price of the pending order, automatically buy and open the position. The trading price of London gold should be at least 200 points higher than the latest price.

4. Selling Stop Loss: If the expected price falls below a certain price and then continues to fall, a selling stop loss can be established. When the future selling price is equal to the set pending order

When the transaction price is reached, the warehouse will be sold automatically. The trading price of London gold should be at least 200 points lower than the latest price.

Stop loss price

Stop-loss price is a protection mechanism, which means that when the loss of an investment reaches the set stop-loss price, the system automatically executes the instructions to cut the position in time to avoid causing greater losses. The purpose is to limit the loss to a smaller range even if the investment is wrong.

trailing stop

Also known as "moving stop loss", it is a stop loss set at a certain distance from the latest price, which is triggered only when the price changes in a direction favorable to the order. Trailing stop prices will not move in two directions, but only in the direction of profitability.