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Technical Analysis |
Analysis of market price action. Technical analysis
studies historical price changes with the aim to forecast
future price movements. By studying price charts and a
host of supporting technical indicators, we in effect let
the market tell us how it is most likely to behave. The
whole purpose of charting the price action of a market is
to identify trends in the early stages of their
development and then trade in the direction of those
trends. One of the two types of analysis used to analyze
the currency market. |
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Thursday/Friday Dollars |
A US foreign exchange technicality. If a foreign bank buys
dollars on Tuesday for Thursday delivery; if the bank
leaves the funds overnight and transfers them on Friday by
means of a clearing house check then clearance is not
until Monday, the next working day. Higher interest rates
for this period are available as a result. |
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Tomorrow to Next |
Simultaneous buying and selling of a currency for delivery
the following day and selling for the next day or vice
versa. |
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Two-Way Price |
Rates for which both a bid and offer are quoted. |
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Trading Policies and Procedures |
Trading policies and procedures, as may, from time to
time, be revised, updated or amended by Delta Stock at its
sole discretion. |
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T Bill: |
see Treasury Bill. |
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Tagesgeld: |
German term for money lent until the following day and
automatically repaid on the day. Taegliches geld
automatically rolls over. |
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Talking up: |
Statements made normally by the central bank or government
minister designed to bolster market sentiment with respect
to the currency. |
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Tail: |
(1) In US Treasury cash auctions, refers to the
differences between the average " issue price" and the
"stop out price". (2) In the repo market, a dealer
establishes a tail when it deliberately makes the reverse
repo for longer than the repo in the hope t |
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Tap: |
UK term for a supply of Government stock available for
sale through the Government broker at a stated price. |
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Tau: |
Expresses the price change of a option for a percentage
change in the implied volatility. |
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Technical Analysis: |
Is concerned with past price and volume trends- often with
the help of chart analysis- in a market, in order to be
able to make forecasts about future price developments of
the commodity being traded. |
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Technical Correction: |
An adjustment to price not based on market sentiment but
technical factors such as volume and charting. |
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Temporal Accounting: |
Method of determining accounting exposure which translates
all balance sheet items at the current rate of exchange,
not the one at the time the cost was incurred. |
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Tender: |
(1) A formal offer to supply or purchase goods or
services. (2) In the UK the term for the weekly Treasury
Bill issue. |
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Tenor: |
Maturity or number of days to maturity normally on bills
of exchange. |
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Terme: |
French for period. |
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Terme sec: |
French for outright in forward foreign exchange
transaction. |
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Termingeld: |
German term for money market operations of over one month. |
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Terms of Trade: |
The ratio between export and import price indices. |
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Theta: |
A measure of the sensitivity of the price of an option to
a change in its time to expiry. |
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Thin market: |
A market in which trading volume is low and in which
consequently bid and ask quotes are wide and the liquidity
of the instrument traded is low. |
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Thursday/Friday Dollars: |
A US foreign exchange technicality. If a foreign bank buys
dollars on Tuesday for Thursday delivery. If the bank
leaves the funds overnight and transfers them on Friday by
means of a clearing house cheque then clearance is not
until Monday, the next worki |
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TIBOR: |
Tokio Inter-bank Offered Rate. |
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Tick: |
A minimum change in price, up or down. |
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Ticket: |
See Deal Slip. |
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Tier One: |
A measure of a banks financial strength used by the BIS
being the shareholders' equity available to cover actual
or potential irredeemable and non-cumulative preference
shares. It excludes, hybrid forms of capital such as fixed
term stock, goodwill, and r |
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Tight Money: |
A condition where there is a shortage of credit as a
result of monetary policy restricting the supply of credit
normally through raising interest rates. |
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TIFFE: |
Tokio International Financial Futures Exchange |
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Time decay: |
The decline in the time value of an option as the expiry
approaches. |
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Time deposit: |
Interest bearing deposits at a savings institution that
has a specific maturity. |
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Time value: |
That part of an option premium which reflects the length
of time remaining in the option prior to expiration. The
longer the time remaining until expiration, the higher the
time value. |
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Today/Tomorrow: |
Simultaneous buying of a currency for delivery the
following day and selling for the spot day, or vice versa.
Also referred to as overnight. |
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Tombstone: |
Colloquial term for announcement in a publication that a
loan or bond has been arranged. |
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Tomorrow next ( Tom next): |
Simultaneous buying of a currency for delivery the
following day and selling for the spot day or vice versa. |
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Trade date: |
The date on which a trade occurs. |
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Trade deficit/Surplus: |
The difference between the value of imports and exports.
Often only reported in visible trade terms. |
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Trade weighted Exchange rate: |
The changes in the exchange rate against a trade weighted
basket including the currencies of the county's principal
trading partners. |
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Traded options: |
Transferable options with the right to buy and sell a
standardized amount of a currency at a fixed price within
a specified period. |
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Tradeable amount: |
Smallest transaction size acceptable. |
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Trade Ticket: |
See deal ticket. |
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Transaction date: |
The date on which a trade occurs. |
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Tranche: |
(1) In the bond market it has two meanings 1.One of a
series of two or more issues with the same coupon rate and
maturity date, but with different dated dates. The
tranches become fungible at a future date, usually the
first coupon date. 2.A bond that sha |
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Transaction: |
The buying or selling of securities resulting from the
execution of an order. |
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Translation loss / profit: |
The calculation of loss or profit resulting from the
valuation of foreign assets and liabilities for balance
sheet purposes, when consolidating into the base currency. |
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Treasury bills: |
Short-term obligations of a Government issued for periods
of one year or less. Treasury bills do not carry a rate of
interest and are issued at a discount on the par value.
Treasury bills are repaid at par on the due date. In the
UK they are normally for |
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Treasury bonds: |
Government obligations with maturities of ten years or
more. |
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Treasury method: |
A bond interest calculation method. The yield to maturity
used by the U.S. Treasury to price bonds at auction.
Partial periods are discounted using simple rather than
compound interest U.S. Street Method). |
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Treasury notes: |
Government obligations with maturities more than one year
but less than ten years. |
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Treasury stock: |
Previously issued stock that has been repurchased by, or
donated to, or otherwise are acquired by the issuing firm.
Treasury stocks pay no dividends and have no voting
privileges. |
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Treaty of Rome: |
Founding treaty of the EU, most recently modified by the
Maastricht Treaty. |
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Troc, troquer: |
French FX term for swap. |
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Turnover: |
The total money value of currency contracts traded is
calculated by multiplying size by the number of contracts
traded. |
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Two Tier market: |
A dual exchange rate system where normally only one rate
is open to market pressure, e.g. South Africa. |
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Two- Way quotation: |
When a dealer quotes both buying and selling rates for
foreign exchange transactions. |
