Glossary of spread betting and other financial market terms

ADX (average directional index) A popular type of technical analysis, used to measure the strength of a trend. On its own it does not indicate whether this is an up or down trend, but an ADX of 20–30 can represent the beginning of a trend. It is often used in conjunction with other data by trend followers.

Aussie Slang term used by currency traders for the Australian dollar.

Bear market A market following a consistent downward trend.

Bid price Also known as the ‘buy’ price. The price used to open a long bet, or to close a short bet.

Bid-to-cover ratio A term used to measure demand for a particular investment being sold at auction. This is often used to assess demand for government debt, ...

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