Forex Trading Glossary, Letter "L"

A B C D E F G H I K L M N O P Q R S T U V W

Leading indicators - "Leading indicators" are statistics that are considered to precede changes in economic growth rates and total business activity, e.g. factory orders.

Leverage - ?Leverage? means that a trader can take a market position, much larger that that of the trader"s account value.

Liability - "Liability" , is in terms of foreign exchange, the obligation to deliver to counterparty an amount of currency; either with respect to a balance sheet, holding at a specified future date, or in respect of an un-matured forward or spot transaction.

Limit order - A "limit order" is an order to buy or sell a specified amount of a currency at a specified price or better.

Liquidation - "Liquidation" is any transaction that offsets or closes out a previously established position.

Liquidity - "Liquidity" is the ability of a market to accept large transactions.

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