M
Glossary
Max drawdown
The largest peak-to-trough loss a portfolio has ever experienced. A useful tolerance check before sizing positions.
More M terms
All A-Z →- MACDMoving Average Convergence Divergence — a momentum indicator showing the relationship between two moving averages.
- MarginBorrowed funds from a broker used to trade. A margin call demands more capital when positions move against you.
- Market capShare price multiplied by outstanding shares. The total market value of a company.
- Market orderAn order to buy or sell immediately at the best available price. Fast but no price control — slippage can hurt on illiquid assets.
- Mean reversionA trading style that bets on extremes — buying oversold, selling overbought — assuming prices revert to a long-term average.
- MiningValidating blockchain transactions in exchange for newly minted coins plus fees. Used by Proof-of-Work chains like Bitcoin.
- MomentumA trading style that buys recent winners on the thesis that trends persist over short horizons.