Trading Glossary

An additional security layer for online credit and debit card transactions. When making a deposit by card, the card issuer may redirect you to a verification page to confirm your identity with a one-time password or PIN before the payment is processed.

The currency denomination of your Zentrader trading account. Available options include USD, JPY, THB, VND, and KRW. Your account base currency determines which deposit methods are available and how cryptocurrency deposits are converted.

Regulations and procedures designed to prevent illegal funds from entering the financial system. Zentrader requires identity verification (KYC) as part of AML compliance.

The price at which a buyer can purchase an asset. Also known as the offer price. Zentrader uses the mid-price between bid and ask for its quoted rates.

A financial instrument available for trading. On Zentrader, assets include forex pairs, commodities, stocks, stock indices, cryptocurrencies, and synthetic indices.

When the current market price of an asset is equal to the strike price (entry price) of the option. On Zentrader, trades that close at the same price as entry are considered out-of-the-money, i.e. the trader loses the investment amount.

The first currency in a forex pair. In EUR/USD, the euro is the base currency. Also refers to the currency denomination of your Zentrader trading account (USD, JPY, THB, VND, KRW).

A market condition where prices are falling or expected to fall. A trader expecting a bear market would select “Low” on Zentrader.

The price at which a seller can sell an asset. Zentrader uses the mid-price (average of bid and ask) for its quoted rates.

A financial instrument where the outcome is either a fixed payout or nothing. On Zentrader, binary option types include High/Low (predicting whether the price will be above or below the entry price at expiry), One Touch (predicting whether the price will reach a target level before expiry), and Spread (predicting whether the price will close beyond a spread range at expiry).

The first and most widely known cryptocurrency. Accepted as a deposit and withdrawal method on Zentrader.

A decentralised digital ledger that records cryptocurrency transactions. Relevant to crypto deposits and withdrawals on Zentrader.

A technical analysis tool consisting of a moving average and two standard deviation bands above and below it. Used to measure market volatility.

A company that provides a platform for traders to buy and sell financial instruments. Zentrader is an online derivatives and foreign exchange brokerage.

A market condition where prices are rising or expected to rise. A trader expecting a bull market would select “High” on Zentrader.

A type of price chart that displays the open, high, low, and close for a given time period. Each “candle” shows price movement visually. Coming soon to the Zentrader platform.

A bonus credited to a trader’s account. Cashback can be offered as part of a sign-up bonus, typically awarded after an initial 20 trades have been made, or as part of Zentrader Rewards, the ongoing rewards program based on monthly trading volume. Zentrader cashback bonuses only need to be traded 1x before they can be withdrawn.

A Zentrader trade type where options run on a fixed schedule with set opening and closing times. Timeframes include 15 min, 30 min, 1 hour, 2 hours, 4 hours, and 24 hours. Identified by the calendar symbol (📅) on the platform.

The price of an asset at the time a trade’s outcome is determined. For High/Low and Spread options, this is the price at expiry. For One Touch options, the outcome may be determined earlier if the price reaches the target level before expiry. The closing price is compared to the strike price (or target/spread range) to decide whether the trade is in-the-money or out-of-the-money.

A raw material or primary agricultural product that can be traded, such as gold, silver, or crude oil.

A screen displayed before a trade is executed, showing the trade parameters. Can be bypassed using One-Click Trade.

The statistical relationship between two assets. Positively correlated assets tend to move in the same direction; negatively correlated assets move in opposite directions.

A commission model used in the Zentrader Affiliate Program. Affiliates earn a fixed payment each time a referred client makes a first-time deposit (FTD).

The practice of depositing funds via credit card with the intention of withdrawing them through another method (such as bank transfer or cryptocurrency) to convert credit into cash. This violates card scheme agreements and is not permitted on Zentrader.

A currency exchange rate between two currencies, neither of which is the US dollar. For example, EUR/GBP.

A digital or virtual currency that uses cryptography for security and operates on a blockchain. Zentrader accepts the following cryptocurrencies as deposit and withdrawal methods: Bitcoin (BTC), Ethereum (ETH), Ripple (XRP), Litecoin (LTC), Dogecoin (DOGE), DAI (DAI), and Tether (USDT).

Two currencies quoted against each other in forex trading. The first is the base currency, the second is the quote currency. Example: USD/JPY.

The three- or four-digit security code printed on a credit or debit card. Required when making card deposits to verify that the cardholder has the physical card in their possession.

A decentralised stablecoin cryptocurrency pegged to the US dollar. Accepted as a deposit and withdrawal method on Zentrader.

The Zentrader client area where traders manage deposits, withdrawals, account settings, bonuses, and support.

A trading style where positions are opened and closed within the same trading day.

A practice account that uses virtual funds to simulate real market trading conditions. Zentrader demo accounts come with a virtual balance and full platform access at no cost, with no ID verification required.

Adding funds to your trading account. Zentrader accepts credit cards, local bank transfers, cryptocurrencies (BTC, USDT), and e-wallets.

Financial instruments whose value is derived from an underlying asset. Binary options are a type of derivative.

Spreading investments across different assets or markets to reduce risk.

A cryptocurrency originally created as a lighthearted alternative to Bitcoin. Accepted as a deposit and withdrawal method on Zentrader.

The peak-to-trough decline in account balance. Used to measure risk and the impact of losing trades.

A cryptocurrency and blockchain platform known for supporting smart contracts. Accepted as a deposit and withdrawal method on Zentrader.

The ability to close an open trade before its scheduled expiry time. On Zentrader, traders can sell a position before expiry to receive a partial payout. The sell quote reflects the current market conditions.

A schedule of upcoming economic events, data releases, and announcements that may impact financial markets. Available on the Zentrader website.

See Strike Price.

A currency pair that includes one major currency and one from a smaller or emerging economy. Example: USD/THB.

The predetermined time at which an option contract ends and the outcome is determined. On Zentrader, expiry ranges from 30 seconds to 1 day depending on the trade type.

The total amount of capital at risk across all open positions. Zentrader sets maximum exposure limits per account.

A technical analysis tool that uses horizontal lines to indicate potential support and resistance levels based on the Fibonacci sequence.

A feature of binary options where the maximum potential loss is known before entering the trade — it is the amount invested.

The global market for trading currencies. The largest and most liquid financial market in the world. Zentrader offers binary options on major, minor, and select exotic currency pairs.

A term used in the Zentrader Affiliate Program referring to the first deposit made by a referred client. An FTD triggers the affiliate’s CPA commission payment.

A method of evaluating an asset by analysing economic data, financial reports, and news events that may affect its price.

A price discontinuity on a chart where the asset opens significantly higher or lower than the previous close, typically after weekends or major news events.

A strategy to offset potential losses by taking an opposite position in a related asset.

A prediction that the price of an asset will be above the strike price at expiry. Selecting “High” on Zentrader means you expect the price to rise.

The standard binary option type on Zentrader. The trader predicts whether the price will be higher or lower than the entry price at expiry. If correct, a fixed payout is received.

When a trade closes in the trader’s favour, resulting in a payout. For High/Low options, this means the closing price is above the strike for a High trade, or below the strike for a Low trade. For Spread options, the closing price must be beyond the spread range. For One Touch options, the trade is in-the-money the moment the price reaches the target level at any point before expiry.

A statistical measure of the performance of a group of stocks. Examples include the S&P 500, Nikkei 225, and FTSE 100.

The amount of capital placed on a single trade. On Zentrader, this is the amount risked and is set by the trader before entering the position.

The official currency of Japan and one of the most traded currencies globally. Also available as a Zentrader account base currency.

The identity verification process required to activate a live trading account. Zentrader requires a valid ID document (passport, driver’s licence, or ID card).

The delay between a trader’s action and the server’s response. High latency can cause trade rejections.

The use of borrowed funds to amplify trading positions. Binary options on Zentrader do not use leverage — the risk is limited to the invested amount.

The ease with which an asset can be bought or sold without significantly affecting its price. Higher liquidity generally means tighter pricing and fewer rejections.

A trading account funded with real money, as opposed to a demo account.

A cryptocurrency designed as a faster, lighter alternative to Bitcoin. Accepted as a deposit and withdrawal method on Zentrader.

A position that profits when the price of the asset rises. Equivalent to selecting “High” on Zentrader.

A prediction that the price of an asset will be below the strike price at expiry. Selecting “Low” on Zentrader means you expect the price to fall.

The most heavily traded currency pairs in the world, all of which include the US dollar. Examples: EUR/USD, USD/JPY, GBP/USD.

The collateral required to open a leveraged position. Not applicable to binary options on Zentrader, as trades use fixed-risk investment amounts.

The hours during which a particular market or asset is available for trading. Varies by asset class and can be affected by daylight saving time and holidays.

An order to buy or sell at the current market price. On Zentrader, trades are executed at the displayed price when the trader clicks High or Low.

The average of the bid and ask prices: (Bid + Ask) ÷ 2. Zentrader uses the mid-price for its quoted rates.

Currency pairs that do not include the US dollar but feature other major currencies. Example: EUR/GBP, AUD/NZD.

Strategies for managing the size of trades relative to account balance to control risk and preserve capital. A common approach is to invest only a fixed percentage of the account balance per trade, such as 1–5%.

A technical indicator that smooths out price data by calculating the average price over a specific number of periods.

The number of blockchain confirmations required before a cryptocurrency deposit is credited. Zentrader requires 3 confirmations for Bitcoin deposits.

The period just before an option’s expiry during which new trades and early closures are not permitted. Typically 2 minutes for forex/commodities and 5 minutes for stocks/indices/crypto on Zentrader Classic.

A key US economic indicator released monthly, reporting the number of jobs added. Often causes significant market volatility.

A Zentrader trade type where the countdown timer starts from the moment the trade is entered. Timeframes include 30 seconds, 60 seconds, 3 minutes, and 5 minutes. Identified by the stopwatch symbol (⏱️) on the platform. Typically offers higher payouts than Classic.

A platform feature that allows traders to enter positions instantly without a confirmation screen. Enabled via a checkbox on the Zentrader platform.

An option type where the trader predicts whether the price will reach (touch) a specified target level at any point before expiry. The trade is won the moment the target is touched, regardless of where the price is at expiry.

The price of an asset at the time a trade is entered or a trading session begins.

A financial contract that gives the holder the right (but not the obligation) to buy or sell an asset at a specified price. Binary options are a simplified form where the outcome is a fixed payout or zero.

When a trade closes against the trader’s prediction, resulting in a loss of the invested amount. For High/Low options, this means the closing price is at or below the strike for a High trade, or at or above the strike for a Low trade. For Spread options, the closing price remains within the spread range. For One Touch options, the price never reaches the target level before expiry.

A condition where an asset’s price has risen sharply and may be due for a pullback. Often identified using indicators like RSI.

A condition where an asset’s price has fallen sharply and may be due for a bounce. Often identified using indicators like RSI.

See Demo Account. Simulated trading using virtual funds.

The return received on a winning trade, expressed as a percentage of the invested amount. For example, a 190% payout on a $100 investment returns $190 (the original $100 plus $90 profit). Zentrader offers payouts up to 200%.

The smallest standard unit of price movement in a currency pair. For most pairs, one pip equals 0.0001. For JPY pairs, one pip equals 0.01.

An active trade that has been entered but not yet closed or expired.

The amount of capital allocated to a single trade. On Zentrader, this is set by the trader before entering the trade.

The source of real-time price data used by the trading platform. Zentrader uses an independent institutional-grade price feed from third-party providers.

The money earned on a winning trade. In binary options, profit = payout amount minus the invested amount.

The second currency in a forex pair. In EUR/USD, the US dollar is the quote currency.

A strategy based on the expectation that an asset’s price will stay within a defined range.

When a trade order fails to execute, typically because the market price changed between the time the order was submitted and when it reached the server. Commonly caused by network latency or extreme market volatility.

A price level where selling pressure tends to prevent the price from rising further. A key concept in technical analysis.

See Payout.

A statement outlining the risks associated with trading. Required reading for all traders.

Strategies and techniques used to minimise potential losses, such as limiting trade size, diversifying, and setting rules for maximum daily loss.

A cryptocurrency designed for fast, low-cost international payments. Accepted as a deposit and withdrawal method on Zentrader.

A momentum indicator that measures the speed and magnitude of price changes on a scale of 0 to 100. Readings above 70 suggest overbought; below 30 suggest oversold.

A trading strategy that aims to profit from very small price movements over very short timeframes.

On Zentrader, the ability to close an open position before expiry. Clicking the Sell button provides a quote for early closure based on current market conditions.

A position that profits when the price of the asset falls. Equivalent to selecting “Low” on Zentrader.

The difference between the expected price of a trade and the price at which it is actually executed. Can occur during periods of high volatility or low liquidity.

The current market price of an asset for immediate delivery.

The difference between the bid price and the ask price. A tighter spread generally indicates higher liquidity.

An option type where a spread is applied around the entry price, creating a buffer zone. The trader must predict whether the price will close above (High) or below (Low) the spread range at expiry. Typically offers higher payouts due to the increased difficulty.

The price at which a trade is entered. At expiry, the closing price is compared to the strike price to determine whether the trade is in-the-money or out-of-the-money.

A trusted third-party identity verification provider used by Zentrader as part of the KYC (Know Your Customer) process. Sumsub specialises in secure document verification and identity checks, helping to protect your account and ensure a safe trading environment.

A price level where buying pressure tends to prevent the price from falling further. A key concept in technical analysis.

A simulated market index generated by a secure algorithm with specific price characteristics that are not impacted by external market events. Zentrader offers exclusive synthetic indices that are available to trade 24/7, including on weekends.

A method of evaluating assets by studying historical price data, charts, and statistical indicators to predict future price movements.

When a trade closes at exactly the same price as the entry strike price. On Zentrader, a tie is treated as an out-of-the-money (losing) trade. This differs from some other platforms.

The duration of a trade from entry to expiry. On Zentrader, timeframes range from 30 seconds (On-Demand) to 24 hours (Classic).

The software used to execute trades. Zentrader offers a web-based platform that is fully compatible on mobile (iPhone and Android) and desktop (Windows and Mac).

The timetable showing when each asset is available for trading, including market hours and any restrictions.

The total number or value of trades executed over a given period. On Zentrader, trading volume determines the tier in the Rewards Program.

The general direction in which the price of an asset is moving — upward (bullish), downward (bearish), or sideways (ranging).

A Japanese bank transfer deposit method that allows clients with any Japanese bank account to transfer funds directly to a Zentrader bank account. Available 24/7 including weekends and holidays, with no pre-registration required. Funds are typically reflected within 15 minutes.

The number of times a bonus must be traded before it can be withdrawn. Zentrader requires cashback bonuses to be traded just 1x.

The financial instrument (e.g. currency pair, commodity, stock) on which a binary option is based.

The profit or loss on an open position that has not yet been closed or expired.

A stablecoin cryptocurrency pegged to the US dollar. Accepted as a deposit and withdrawal method on Zentrader.

The currency pair representing the US dollar against the Japanese yen. One of the most traded pairs on Zentrader.

The process of submitting identity documents to activate a live trading account. Zentrader accepts passports, ID cards, and driver’s licences.

The degree of price fluctuation of an asset over a period of time. Higher volatility means larger and more frequent price swings. Can affect payout rates and the likelihood of trade rejections.

See Trading Volume.

Transferring funds from your trading account to your personal bank account, e-wallet, or cryptocurrency wallet. Zentrader processes withdrawals daily, Monday to Friday.

The return on an investment, typically expressed as a percentage. In binary options, this is equivalent to the payout rate.