Financial Dictionary

Look up the terms traders use every day, from forex and CFDs to indicators and chart patterns. Pick a letter to browse its terms, then open any term to read its definition.

Terms starting with G

  • The gambler's fallacy is the belief that a run of outcomes makes the opposite more likely next, such as expecting a rise after several falls. Each market move is not owed a reversal.

  • The Gartley pattern is a harmonic chart pattern made of five points whose swings follow set Fibonacci ratios. Traders use it to spot possible reversal zones.

  • Gas fees are payments made to process transactions on a blockchain such as Ethereum. They rise when the network is busy.

  • GBP/USD is the exchange rate between the British pound and the US dollar, nicknamed Cable. It is one of the most traded pairs and reacts to Bank of England and Federal Reserve policy.

  • A gilt is a bond issued by the UK government. Gilt yields set the benchmark for borrowing costs in the United Kingdom.

  • Gold is a precious metal traded as a safe haven and a hedge against inflation, quoted as XAU/USD in US dollars per troy ounce. Its price tends to rise when real interest rates or the US dollar fall.

  • A golden cross is when the 50 day moving average rises above the 200 day moving average. It is seen as a bullish long term signal, though it often lags the start of a rally.

  • A good till cancelled order stays active until it fills or the trader cancels it. It does not expire at the end of the trading day.

  • A government bond is a debt security issued by a national government to fund its spending. Bonds of stable governments are seen as low risk and act as benchmarks for other borrowing.

  • Gross domestic product is the total value of goods and services an economy produces over a period. It is the broadest measure of economic growth.

  • Gross margin is revenue minus the cost of goods sold, shown as a percentage of revenue. It shows how much a company keeps from each sale before other expenses.

  • Growth stocks are shares in companies expected to grow earnings faster than average, often in technology. They tend to be more sensitive to interest rate changes than value stocks.

  • A guaranteed stop loss closes a position at exactly the chosen price, even if the market gaps past it. Providers that offer it usually charge a premium.