Glossary – Trading
There are 19 names in this directory beginning with the letter P.
Parabolic
A market that moves a great distance in a very short period of time, frequently moving in an accelerating fashion that resembles one half of a parabola. Parabolic moves can be either up or down.
Personal income
Measures an individual’s total annual gross earnings from wages, business enterprises and various investments. Personal income is the key to personal spending, which accounts for 2/3 of GDP in the major economies.
Pips
The smallest unit of price for any foreign currency, pips refer to digits added to or subtracted from the fourth decimal place, i.e. 0.0001.
Political risk
Exposure to changes in governmental policy which may have an adverse effect on an investor’s position.
Profit
The difference between the cost price and the sale price, when the sale price is higher than the cost price.
Pullback
The tendency of a trending market to retrace a portion of the gains before continuing in the same direction.
Purchasing managers index (PMI)
An economic indicator which indicates the performance of manufacturing companies within a country.
Purchasing managers index services (France, Germany, Eurozone, UK)
Measures the outlook of purchasing managers in the service sector. Such managers are surveyed on a number of subjects including employment, production, new orders, supplier deliveries and inventories. Readings above 50 generally indicate expansion, while readings below 50 suggest economic contraction.
