Definition
A standardized agreement to buy or sell an asset at a specified price and date in the future. Used for hedging or speculating on commodities, indices, and rates.
Related Trading terms
Day Trading
Buying and selling financial instruments within the same trading day to profit f…
Swing Trading
A strategy of holding positions for several days to weeks, aiming to capture pri…
Scalping
An ultra-short-term trading strategy that aims to profit from small price change…
Technical Analysis
Evaluating securities by analyzing statistical trends from trading activity — pr…
Fundamental Analysis
Evaluating a security's intrinsic value by examining financial statements, indus…
Candlestick Chart
A price chart where each 'candle' shows the open, high, low, and close for a tim…
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Browse 350+ finance, crypto, and fintech terms across 12 categories in the Digital.Finance glossary.