Glossary of terms

  • Pips

    This is the minimum value by which the price of currencies may change, usually occurs in the fourth place after the decimal point. Changing of a pair from 1.2500 to 1.2501 indicates a variation of one pip. In a colloquial Forex dictionary, the value of 100 pips is called "figure".

  • Price formations

    There are certain shapes or patterns which are arranged on price charts announcing the reversal or continuation of the trend.