Glossary
TL;DR. Short, plain-language definitions of the terms you'll meet across the site. Each entry links out to the article where the concept is explained in full.
This glossary grows alongside the knowledge base. Terms are grouped by theme; use your browser's find (Ctrl/Cmd+F) to jump to one.
Foundations
Scalping — a trading style that aims to capture many small price moves over short holding periods (seconds to minutes) rather than a few large ones.
Risk/reward (R/R) — the ratio between what you risk on a trade and what you aim to gain, e.g. risking 1 to make 1.5.
Liquidity sweep / stop hunt — a sharp move that pushes price through an obvious level to trigger resting stop orders before reversing.
Derivatives
Perpetual future (perp) — a futures contract with no expiry, kept near spot price by the funding mechanism.
Funding rate — a periodic payment between long and short holders of a perp that tethers its price to spot.
Open interest (OI) — the total number of open derivative contracts; rising OI means new positions are being opened.
Basis — the price difference between a future and the underlying spot.
Options
Call / put — the right to buy / sell an asset at a set strike price before expiry.
Premium — the price paid to buy an option.
Implied volatility (IV) — the market's expectation of future volatility, embedded in option prices.
Skew — the difference in implied volatility across strikes; it reveals where the market sees more risk.
This article is educational content, not investment advice. See disclaimer.