Back Months

Futures delivery months other than front month.

Bear

One who expects a decline in prices.. A news item is considered bearish if it is expected to result in lower prices.

Bear Market

A market in which prices generally are declining over a period of months or years.

Bid

An offer to buy a specific quantity of a commodity at a stated price.

CBOT

Chicago Board Of Trade

Limit Order

An order to enter a position at a set price or better.

Swing Trading

Opposite of daytrading. Swing Traders speculate longer term on prices of stocks, futures, etc.

Emini

A mini contract that is traded exclusively on an electronic trading facility. E-Mini is a trademark of the Chicago Mercantile Exchange.

Dow Eminis

The emini futures market that is a basket of 30 stocks. It is the average of the Dow Jones Industrial Average.

Russell Eminis

The emini futures market that is a stock index of 2000 stocks.

Front Month

The current trading month. The S&P 500 Eminis trade 4 contract months: March, June, September, and December.

Futures

Market trading in contracts to buy and sell a particular commodity at a fixed price on a certain date

Contract

An agreement made at a specific price for delivery on a certain day. The Emini Contracts are all cash based. Also known as Futures Contracts.

Market Order

An order to enter a position at the next available price.

Mini

Refers to a futures contract that has a smaller contract size than an otherwise identical futures contract.

Options

Options are a contract that give the buyer the right, not the obligation to buy or sell the underlying security at a specified price (Strike Price) at a specified date.

Stock Index

An average of a basket of stocks, that are usually weighted, meaning some stocks have more “juice” in the index price than others. Some examples of stock indexes are: S&P 500 Eminis, ERussell Eminis, and Dow Eminis.

Day Trader

An active trader who opens and closes positions the same day and seldom hold positions after the close. A day trader usually trades very liquid markets like the S&P 500 Eminis, ERussell Eminis, Dow Eminis, and Nasdaq Eminis.

Tick

The minimum price fluctuation price action can make. In the S&P 500 Eminis the minimum movement is $12.50. So each “tick“ is $12.50.