139+ Trading Terms Explained

A four-point harmonic chart pattern where price makes an initial impulse leg (AB), a corrective pullback (BC), and then a continuation leg (

A momentum strategy where a trader enters a stock that gapped up (or down) at the open and continues moving in the direction of the gap — ra

Mean reversion is the trading concept that after an extreme price move away from an average (VWAP, a moving average, a prior range), price h

Momentum trading is an approach that identifies stocks moving strongly in one direction — usually driven by a catalyst, high relative volume

An Opening Range Breakout (ORB) is a trading strategy that defines the high and low of the first N minutes of the session (commonly 5, 15, o

Scalping is a trading style that targets very small price moves — often just cents or a few ticks — entering and exiting positions within se

Swing trading is a style that holds positions for days to weeks, aiming to capture one directional swing within a larger trend — it requires

The skill of interpreting real-time order flow — watching the time & sales (the "tape"), Level 2 quotes, and print sizes — to gauge the bala

Trend following is a systematic trading approach that identifies an established price trend and enters in that direction, holding the positi