Same day transaction - A "same day transaction" is a transaction that matures on the day the transaction takes place.
Selling rate - A "selling rate" is a rate at which a bank is willing to sell foreign currency.
Settlement date - A"settlement date" is the date by which an executed order must be settled by the transference of instruments or currencies and funds between buyer and seller.
Settlement risk - A "settlement risk" is a risk associated with the non-settlement of the transaction by the counter party.
Short sale - A "short sale" is the sale of a specified amount of currency not owned by the seller at the time of the trade. Short sales are usually made in expectation of a decline in the price.
Short-term interest rates - A"short term interest rate" is normally the 90-day rate.
Sidelined - "Sidelined" a major currency that is lightly traded due to major market interest in another currency pair.
Soft Market - A "soft market" is a market that has more potential sellers than buyers, which creates an environment where rapid price falls are likely.
Spot - "Spot" (A) the most common foreign exchange transaction. (B) Spot or spot date, which refers to the spot transaction value date that requires settlement within two business days, subject to value date calculation.
Spot next - "Spot next" means the overnight swap from the spot date to the next business day.
Spot price/rate - A "spot price/rate" is the price at which the currency is currently trading in the spot market.
Spread - "Spread" (A) the difference between the bid and ask price of a currency. (B) The difference between the price of two related futures contracts.
Square - "Square" means that the purchase and sales are in balance and thus the dealer has no open position.
Squawk box - A "squawk box" is speaker connected to a phone often used in broker trading desks.
Squeeze -"Squeeze," this is an action by a central bank to reduce supply in order to increase the price of money.
Stable market - A"stable market" is an active market, which can absorb large sales or purchases of currency without major moves.
Standard - "Standard" is a term referring to certain normal amounts and maturities for dealing.
Sterilisation - "Sterilisation" refers to Central Bank activity in the domestic money market to reduce the impact on money supply of its intervention activities in the FX market.
Sterling - "Sterling" the British pound, otherwise known as cable.
Stocky - "Stocky" is the market slang for the Swedish Krona.
Stop loss order - "Loss and stop" is an order given to ensure that, should a currency weaken by a certain percentage, a short position will be covered even though this involves taking a loss. Realize profit orders are less common.
Support levels - "Support levels" this is the term used when an exchange rate depreciates or appreciates to a level where (A) Technical analysis techniques suggest that the currency will rebound, or not go below; (B) the monetary authorities intervene to stop any further downward movement. See resistance point.
Swap price - "Swap price." A price as a differential between two dates of the swap.
Swap - "Swap." This is the simultaneous purchase and sale of the same amount of a given currency for two different dates, against the sale and purchase of another. A swap can be a swap against a forward.
In essence, swapping is somewhat similar to borrowing one currency and lending another for the same period. However, any rate of return or cost of funds is expressed in the price differential between the two sides of the transaction.
Swissy - "Swissy." This is market slang for Swiss franc.
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