Trading glossary

Fakeout Fakeout Definition: A fakeout (also spelled fake-out or false breakout) is a price movement that appears to break through a significant technical level — a support, resistance, or trendline — only ... Falling Knife Falling Knife Definition: A Falling Knife is a market analogy describing an asset experiencing rapid, severe price decline — typically dropping 20% or more in days or weeks with no clear support em... FATF FATF Definition: The Financial Action Task Force (FATF) is an intergovernmental body, founded by the G7 in 1989, that sets the global standards for fighting money laundering, terrorist financing an... Faucet Faucet Definition: A crypto faucet is a website or app that gives away small amounts of cryptocurrency, either as a reward for simple tasks such as solving a captcha or as free test tokens for deve... Federal Funds Rate Federal Funds Rate Definition: The federal funds rate is the interest rate at which US banks lend reserve balances to each other overnight. The Federal Reserve's policy committee sets a target rang... Federal Reserve (Fed) Federal Reserve (Fed) Definition: The Federal Reserve is the central bank of the United States, created by Congress in 1913 to manage the money supply and keep the banking system stable. It sets a ... Fiat Fiat Definition: Fiat money is currency that a government has declared to be legal tender, backed by the authority and trust in that government rather than by a physical commodity like gold or silv... Fibonacci Extension Fibonacci Extension Definition: Fibonacci Extensions are technical analysis tools that project potential price targets beyond the initial trend swing by extending Fibonacci ratios past 100% of the ... Fibonacci Retracement Fibonacci Retracement Definition: Fibonacci retracement is a technical analysis tool that identifies potential support and resistance levels by measuring specific percentage pullbacks from a signif... Filecoin (FIL) Filecoin (FIL) Definition: Filecoin is a decentralised storage network in which independent storage providers rent out disk space and earn FIL tokens for continuously proving, with cryptography, th... Fill or Kill (FOK) Fill or Kill (FOK) Definition: A Fill or Kill order is a time-in-force instruction requiring the order to execute completely and immediately at the specified price or be cancelled entirely — partia... Finality Finality Definition: Finality is the guarantee that a transaction recorded on a blockchain can no longer be reversed, altered or removed. Some networks reach it gradually, as each new block makes a... Financial Crisis Financial Crisis Definition: A financial crisis is a sudden loss of confidence in banks, markets or a currency that makes lenders stop lending and forces holders to sell assets at almost any price.... Financial Risk Financial Risk Definition: Financial risk is the probability of losing money or failing to achieve an expected financial outcome due to market movements, credit defaults, liquidity constraints, ope... Financial Services Financial Services Definition: Financial services is the broad industry that encompasses all businesses and activities involved in managing, transferring, investing, and protecting money and financ... FinTech FinTech Definition: FinTech (financial technology) refers to technology-driven companies and innovations that deliver financial services more efficiently, cheaply, or accessibly than traditional in... Fiscal Policy Fiscal Policy Definition: Fiscal policy is a government's use of taxation and public spending to influence the level of demand, employment and growth in an economy. Spending more or taxing less add... Fixed Deposit Fixed Deposit Definition: A fixed deposit (FD), also known as a term deposit or certificate of deposit (CD) in the United States, is a financial product where a depositor locks a specific sum of mo... Flash Loan Flash Loan Definition: A flash loan is an uncollateralised loan in decentralised finance (DeFi) that must be borrowed and repaid within the same blockchain transaction. If the borrower cannot retur... Flippening Flippening Definition: The Flippening refers to the hypothetical event where Ethereum (ETH) surpasses Bitcoin (BTC) in market capitalization, becoming the largest cryptocurrency by that measure. Th... FOMC FOMC Definition: The Federal Open Market Committee (FOMC) is the policy-setting body of the US Federal Reserve that decides the target range for the federal funds rate and the size of the Fed's sec... FOMO (Fear Of Missing Out) Fear of Missing Out (FOMO) Definition: FOMO in trading is the anxiety-driven impulse to enter a position because an asset is rapidly rising and you fear being left out of the gains — not because yo... Forced Liquidation Forced Liquidation Definition: Forced liquidation is the automatic closure of a leveraged trading position by an exchange or broker when the trader's margin balance falls below the required mainten... Forex (FX) Forex (FX) Definition: Forex, short for foreign exchange, is the global market where one currency is exchanged for another at a floating price called the exchange rate. It is the largest financial ... Forward Guidance Forward Guidance Definition: Forward guidance is a central bank's public communication about the likely future path of interest rates, used to influence borrowing costs before any rate decision is ... Free Float Free Float Definition: Free float is the percentage of a company's total shares outstanding that are available for trading by the general public — excluding shares held by insiders (founders, execu... Front Running Front Running Definition: Front running is the illegal practice of executing trades based on advance non-public knowledge of pending orders that will move the market, capturing profits at the expen... FTSE 100 FTSE 100 Definition: The FTSE 100 (pronounced "Footsie") is a stock market index tracking the 100 largest companies listed on the London Stock Exchange by market capitalization. Launched in January... FUD (Fear, Uncertainty, Doubt) FUD (Fear, Uncertainty, Doubt) Definition: FUD refers to negative information, often misleading or exaggerated, spread strategically to influence market sentiment and prompt panic selling. The term... Full Node Full Node Definition: A full node is a computer that downloads a blockchain and independently checks every block and transaction against the network's rules, starting from the very first block. It ... Fully Diluted Valuation (FDV) Fully Diluted Valuation (FDV) Definition: Fully Diluted Valuation (FDV) is a cryptocurrency valuation metric calculating what a token's total market value would be if all maximum supply tokens were... Fundamental Analysis Fundamental Analysis Definition: Fundamental analysis is a method of evaluating an asset's intrinsic value by examining the underlying economic, financial, and qualitative factors that drive its wo... Funding Rate Funding Rate Definition: The funding rate is a periodic payment exchanged between long and short traders in perpetual futures contracts, designed to keep the contract price aligned with the underly... Funds Management Funds Management Definition: Funds management (also called asset management or investment management) is the professional administration of pooled capital on behalf of investors, with the objective... Fungibility Fungibility Definition: Fungibility is the property of a good or asset where individual units are interchangeable and indistinguishable from each other — each unit is identical to every other unit ... Futures Contract Futures Contract Definition: A futures contract is a standardized agreement to buy or sell an underlying asset at a predetermined price on a specified future date, traded on regulated exchanges and...