Glossary

Mechanism that lets you control a larger position than the capital deposited. Amplifies both gains and losses.

The market’s sell price — the price at which you buy the pair.

The market’s buy price — the price at which you sell the pair.

Intermediary that provides quotes, platform and order execution for retail clients.

Decline in equity from a prior peak. Measures how far the account has pulled back.

Global foreign-exchange market where currencies are traded in pairs.

A price jump between one close and the next open, or in extreme events, with no trades at intermediate levels.

Unit of position size. A standard lot traditionally represents 100,000 units of the base currency (varies by product).

A position that benefits if the base currency strengthens versus the quote currency.

Capital required or locked to open and maintain leveraged positions.

Classic unit of price change in FX (e.g. 0.0001 on many pairs). Conventions differ for JPY pairs.

Price zone where relatively strong selling often appears and slows advances.

Risk-averse environment where capital seeks more defensive postures.

Risk-seeking environment where capital often flows toward higher-beta assets and currencies.

A position that benefits if the base currency weakens versus the quote currency.

Difference between expected fill price and actual fill, common in fast or thin markets.

Difference between bid and ask — immediate trading cost of entering/exiting.

Order or plan level that limits loss if price moves against the idea.

Price zone where relatively strong buying often appears and slows declines.

Overnight financing adjustment for holding a position across the rollover time.

Order or plan level that closes or reduces a winning position at a target.

Chart period (M5, H1, D1, etc.). Different TFs show different noise and climate.

How much price tends to move. Affects stop distance, size and emotional load.

Average of closes over N periods, equal weight. Smooths price; lags turns.

Moving average that weights recent prices more. Reacts faster than SMA; still lags.

Relative Strength Index — momentum oscillator. High/low zones are not automatic reverse buttons.

Moving Average Convergence Divergence — momentum from moving averages and a histogram.

Volatility bands around a moving average. Touches are not automatic reversals.

Average True Range — typical range/volatility measure useful for stops and sizing study.

Oscillator of close location in a recent range. Overbought/oversold fails often in strong trends.

When price and an oscillator disagree (e.g. higher high in price, lower high in RSI). Attention flag, not a signal.

Oscillator language for extreme readings. In strong trends, “overbought” can persist.

Fast back-and-forth that stops both sides. Common in chop and around news.

Volume-weighted average price. More native to equities/futures; use carefully in retail FX context.

A swing high above the prior swing high — part of uptrend structure language.

A swing low above the prior swing low — often bullish structure continuation language.

A swing high below the prior swing high — often bearish structure language.

A swing low below the prior swing low — often bearish continuation language.

When price invalidates prior HH/HL or LH/LL sequence. Information for bias — not an automatic order.

Return to a broken level or zone to test acceptance. Can fail; risk still required.

Price spikes beyond a zone then returns, often trapping breakout chasers.

Candle with a long wick and small body, suggesting rejection — context decides if it matters.

Candle that covers the prior candle’s range. Needs structure; names alone are not edge.

Area where price has spent time or reacted repeatedly — study language, not a magic rectangle.

Partial return against the prior impulse inside a trend — or the start of something else. Risk defines the study.

Move beyond a range or level. Can be real expansion or a false break — plan for both.

Several independent reasons aligning (level + structure + volatility). Not an excuse to stack five identical indicators.

Reading higher TF climate before lower TF detail. Top-down reduces M5 storytelling.

Asia trading window. Liquidity and pair behavior often differ from London/NY.

European window with high activity on many majors.

US window; overlap with London is often the busiest stretch for several pairs.

Hours when both centers are active — typically higher activity and attention load.

Local reference for Brazilian students planning realistic session windows.

Highly liquid pair usually involving USD (e.g. EUR/USD, USD/JPY).

Pair without USD (e.g. EUR/GBP). Shows a direct fight between two non-USD currencies.

Less liquid pair, often with higher spread, gap and local-policy risk.

Traditional 100,000 units of base currency (product-dependent).

Typically 10,000 units of base — smaller exposure than a standard lot.

Typically 1,000 units of base — common for small risk and practice sizing.

How much account equity you accept to lose if the stop hits on one idea (often a fixed %).

Relationship between planned risk (1R) and reward target. Language for asymmetry — not a guarantee.

A run of losses. Normal even with edge; ruinous if size is reckless.

Fear of missing out — chasing moves without a setup. Process bug, not a strategy.

Trying to “get money back” immediately after a loss. Classic account damage pattern.

Too many trades or too much size relative to plan — often filling emptiness with clicks.

Record of decisions, R, emotions and rule breaks. Process memory beats ego memory.

Written rules for markets, risk, setups, hours and prohibitions.

A positive expectancy process over a large sample — not a feeling after three wins.

Average Directional Index — trend strength measure (not direction by itself).

Directional indicators often paired with ADX to discuss directional pressure.

On-Balance Volume idea. In retail FX, volume is often a weak proxy — use with skepticism.

Ratio-based pullback grid between swings. Easy to curve-fit; needs clear swings and risk.

Trailing stop-style dots that flip sides. Whipsaws hard in ranges.

Exponential moving average — faster-reacting average of price.

Simple moving average — equal-weight average of price over N periods.

Volatility envelope around a mean. Squeeze and expansion are context, not oracles.

Ease of trading size without large price impact. Thin markets cost more and slip more.

Financing charged or paid for holding positions across day-change.

Practice account with fake money. Good for process; weak for real fear training.

Account with real capital. Psychology and costs become real.

When price holds beyond a level, suggesting the market accepts the new area.

When price probes a level and leaves a wick/return, suggesting rejection of that area.

Sideways balance / range phase after or before directional moves.

Directional leg with stronger follow-through. Opposite study idea is corrective pullback.

Counter-move that may be a pullback in a larger trend — or the start of a reverse. Risk decides the study.

Study idea that stops and resting orders cluster beyond obvious highs/lows.

Popular PA jargon for a supply/demand candle zone. Treat as optional language, not sacred geometry.

Imbalance / gap-in-candles jargon. Optional study vocabulary; not a SafeCandle signal system.

Structure-break label used in modern PA communities. Define your rules or ignore the acronym.

Label for a shift in structure character. Subjective — write definitions if you use it.

Nickname for high-activity session windows. Not a magic clock for free money.

Day-change financing moment when swaps apply; spreads can behave oddly around it.

Benchmark rate-setting windows (e.g. some London fixes) that can affect flows.

Holding a position that seeks interest differential. FX moves can erase the “rent”.

Broad risk appetite regimes that reshuffle currencies and assets.

Currency widely held by institutions/central banks (often USD in modern history).

Macro idea linking rate differentials and FX forward/spot relationships — study level, not a button.

Tendency of pairs to move together or as mirrors in a window. Changes with regime.

Spreading ideas across pairs. Correlated pairs can still be one risk engine.

Risk that your rules or assumptions are wrong even if the chart looks neat.

Platform, internet, fat-finger, wrong account — process failures outside “the setup”.

Risk of not exiting cleanly when the market is thin or discontinuous.

Hard stop for the day when loss/R hits a ceiling. Protects tomorrow’s process.

Ceiling for weekly damage. Prevents death-by-a-thousand-revenge-sessions.

Mismatch between tiny capital and huge income goals drives reckless leverage.

Formula for aggressive optimal bet sizing. Easy to misuse; beginners should prefer small fixed %.

(Win% × avg win) − (Loss% × avg loss). Edge language over sample — not a vibe.

Spread, commission, swap and slip that eat expectancy.

Only part of an order is filled. More relevant in some markets/order types.

One-cancels-the-other order group. Broker-dependent feature.

Stop that follows price by a distance/rule. Can lock gains or exit early in noise.

Moving stop to entry after some progress. Can help or turn winners into scratches too early.

Order waiting for price to reach a level (limit/stop styles). Still needs risk thinking.

Visible resting liquidity concept. Retail FX depth is often incomplete — stay humble.

How reliably fills match expectations (slip, requotes, latency).

Broker offers a new price instead of filling the requested one — friction and frustration source.

Offsetting exposure. Amateur “hedges” are often just a second bet.

Stacking orders at intervals. Can explode risk in trends. Treat as high-danger pattern.

Doubling after losses. Classic path to ruin. SafeCandle treats it as a red flag.

Increasing size after wins / reducing after losses — still needs strict rules and humility.

Doing the written plan under boredom, fear and euphoria.

Waiting for your setup instead of inventing trades to feel busy.

Emotional state that breeds overtrading. Flat is a valid position.

After a win, risk often creeps up. Dangerous identity inflation.

Hesitation after over-analysis or past pain. Opposite twin of FOMO.

Cognitive bias of sticking to an arbitrary reference price or first idea.

Seeking only evidence that supports your view and ignoring invalidation.

Believing you control random short-term outcomes more than you do.

Emotional hijack after losses (or wins) that destroys process.

SafeCandle priority: judge the quality of decisions over a single PnL print.

How you see yourself. Fragile identity tied only to monthly PnL is unstable.

Owning rule breaks in the journal without theatrical self-hate.

Short label (FOMO, revenge, plan-followed) used to find patterns later.

Full equilibrium system (cloud, lines). Learn slowly; do not drop all five elements on M1 day one.

Ichimoku conversion/base lines. Moving equilibrium references inside the system.

Ichimoku cloud zone of equilibrium/trend context on higher TFs.

Commodity Channel Index — momentum/deviation oscillator. Same humility rules as other oscillators.

Range oscillator similar in spirit to stochastics. Extremes ≠ auto reverse.

Measures rate of change-style momentum. Confirm with structure and risk.

Rate of Change — momentum of price over a lookback.

Session-derived levels from prior period math. Optional map, not destiny.

Channel of highest high / lowest low over N periods — breakout study tool.

ATR-based channel around a mean. Volatility envelope cousin of Bollinger.

ATR trailing trend line popular in retail charts. Whipsaws in ranges.

Distribution of volume by price. Data quality varies a lot in retail FX.

Open futures contracts. FX spot retail is not the same dataset.

Exchange-traded FX derivative with standards and clearing — different plumbing than many CFDs.

Contract for difference — OTC derivative common in retail. Read costs and counterparty carefully.

The other side of your contract. Broker/model risk is real.

Rules and oversight of the provider. Not a guarantee of profits — a risk filter.

Know Your Customer identity checks required by many regulated brokers.

Fill better or worse than expected. Both exist; planning for worse is mature.

Spread that widens/narrows with liquidity and news.

Per-trade fee separate from spread on some account types.

Account balance plus floating PnL. What drawdown is measured against.

How strong/weak a currency is versus a basket of peers in a timeframe — relative, not absolute truth.

SafeCandle/CSM-style ranking of majors. Educational context on /mercado — not a signal service.

Relative rank scale in a TF. High ≠ automatic buy of that currency in every pair.

Attention bands (balance / strong / weak). Map, not entry traffic light.

How strength organizes across timeframes — climate vs detail.

Study language for smooth vs choppy strength paths over time.

Grid of pair scores from currency strength. Observation lab for blocks of pairs.

Strength hierarchy from monthly/weekly climate down to H1 detail.

Educational idea that currencies rotate through relative phases — not a crystal ball.

When a currency sits at relative extremes. Can continue or mean-revert — no auto reverse.

Study question: how much relative room is left before extremes, given the TF.

How extended a currency looks versus its peers. Context for questions, not orders.

Educational framing of watching a basket of majors rather than one pair in isolation.

Is the lower TF move a pause in higher-TF climate or a true regime change? Question, not slogan.

Optional study filters; SafeCandle teaches them as context, never as house signals.

Habit: higher TF → strength → structure → journal — still zero obligation to trade.

Pullback ratios between defined swings. Clear swings or skip the tool.

Projection ratios beyond a swing for study of measured moves — not guarantees.

Named shapes (flags, H&S, etc.). Subjective; risk and invalidation matter more than the name.

Price spikes beyond a zone then returns, often trapping breakout chasers.

Levels derived from prior period high/low/close formulas.

Depth and ease of trading. Sessions and events change it.

When two regional sessions are open together — often more activity.

Global risk appetite switch that reorders currencies and assets.