M 2012

1.


M1


Money supply component which consists of all cash in circulation, plus all of the money held in checking accounts, as well as all the money in travelers checks.


2.


M2


Money supply component which consists of M1 plus all of the money held in money market funds, savings accounts, and small Certificates of Deposits.


3.


M3


Money supply component which consists of M2 plus all of the large Certificates of Deposits.


4.


Maintenance


A set minimum margin that a customer must maintain in his margin account. See also: Maintenance Margin


5.


Maintenance Margin


The minimum margin that must be available in an account to support all open trades.


6.


Make A Market


A dealer makes a market by providing a two-way quote a bid and ask price in which they stand ready to buy or sell. In this way, dealers are also known as market makers.


7.


Managed Float


Exchange rate policy where central banks regularly intervene to stabilize and/or steer the direction of their currency.


8.


Manual Trader


A trader that inputs his/her trades manually without an API.


9.


Margin


The minimum deposit required to maintain an open position. For example, with an open position of $250,000 and a leverage of 50, the required margin would be $5000.


10.


Margin Account


An account that allows leverage buying and short selling on credit.


11.


Margin Call


A notification that more funds must be deposited into an account because the value of the account has fallen below the minimum margin needed to cover the size of existing positions.


12.


Mark-To-Market


For an open position, what its value would be if it were closed out at the current market rates.


13.


Market Close


In the 24-hour forex market, the market never closes. For administrative purposes, many banks institute 5pm EST as the market close in order to differentiate between value dates, as well as More…


14.


Market Maker


A dealer who provides a two-way quote a bid and ask price in which they stand ready to buy or sell. In this way, dealers are also known as market makers.


15.


Market Order


An order for immediate execution at the best available price.


16.


Market Rate


The most current quote for a currency pair.


17.


Market Risk


The risks that occur when demand and supply pressures in the market cause the value of an investment to fluctuate.


18.


Martingale System


A betting strategy where the gambler doubles his/her bet after every loss, so that the first win recovers all previous losses plus wins a profit equal to the original stake. This strategy More…


19.


Maturity


The date on which payment of a financial obligation is due.


20.


Maximum Leverage


The biggest position that a margin deposit would cover. At a leverage of 50, one could enter a maximum leveraged position of $100,000 by depositing $2,000 worth of margin.

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