Blog by PriyaSahu

The Commitment of Traders (COT) report shows how different types of traders are positioned in the futures market. It tells you how many contracts are being held by big traders like institutions, hedge funds, and small traders. This helps you understand market trends and make better trading deci...

The Commodity Futures Trading Commission (CFTC) is a government agency in the United States that regulates futures and options markets. Its role is to make sure these markets work fairly and without fraud or manipulation. Even though it mainly deals with commodities like oil, gold, or wheat, it...

The custodian in mutual funds is responsible for safely holding and protecting the fund’s assets. They make sure all securities are stored properly, transactions are done securely, and records are maintained. The custodian plays an important role in keeping your investments safe and ensuring tr...

The dividend payout ratio shows how much profit a company returns to shareholders as dividends. It helps investors decide if a stock is good by indicating the balance between paying dividends and keeping money for growth. A reasonable payout ratio can mean steady income plus growth potential, m...

The Donchian Channel helps traders spot breakouts by showing the highest high and lowest low over a specific period. In breakout trading, it signals when price moves above the upper band or below the lower band, indicating a possible strong move. Traders use it to enter trades early when a new ...

The Efficient Market Hypothesis (EMH) says that stock prices always reflect all available information. This means it is very hard to consistently beat the market because all known news and data are already included in prices. So, the role of EMH in stock trading is to show that trying to find u...

The Elder Ray Index helps traders understand market strength by measuring the power of bulls (buyers) and bears (sellers). It uses two indicators: Bull Power and Bear Power. When Bull Power is strong and Bear Power is weak, it shows the market is likely to go up. If Bear Power is strong an...

The Federal Reserve affects stock prices mainly by controlling interest rates and managing the economy. When the Fed lowers interest rates, borrowing becomes cheaper, which encourages businesses to grow and investors to buy stocks, pushing prices up. When it raises rates, borrowing costs r...

The Federal Reserve influences commodity markets mainly through its control of interest rates and monetary policy. When the Fed changes rates or money supply, it affects inflation and the value of the US dollar, which in turn impacts commodity prices. Lower interest rates often lead to hig...

The Federal Reserve plays a major role in the financial markets by controlling interest rates, managing inflation, and ensuring financial stability. Its actions affect how money flows in the economy, how much people invest, and how businesses grow. When the Fed changes interest rates or gi...

The Federal Reserve plays a big role in how the stock market performs. It does this by changing interest rates, controlling money flow in the economy, and giving signals about future economic conditions. When the Fed makes borrowing easier, people and businesses spend more, which helps the...

The Federal Reserve, often called the Fed, plays a very important role in trading and financial markets. It controls interest rates, manages money supply, and ensures the U.S. financial system is stable. These actions directly affect the stock market, forex, and bond markets. Traders follo...

The Financial Industry Regulatory Authority (FINRA) plays a big role in keeping the U.S. stock market fair and safe. It checks that brokers and financial firms follow the rules. FINRA helps protect investors from fraud, keeps trading honest, and makes sure people get the right information....

Forward contracts play a very important role in forex hedging. They help people and businesses fix the exchange rate for a future date. This protects them from currency price changes. It’s like booking today’s rate for tomorrow’s use. Forward contracts are a great way to avoid surprise los...

The fund sponsor plays a very important role in starting and supporting a mutual fund. The sponsor creates the mutual fund, registers it with SEBI, and sets up the Asset Management Company (AMC). The sponsor is like the main promoter and is responsible for making sure the mutual fund runs ...

The Greeks play a major role in managing complex options positions. They help traders understand how their options will react to changes in price, time, volatility, and interest rates. By using Delta, Gamma, Theta, Vega, and Rho, traders can make smarter decisions, reduce risk, and protect...

The Greeks in options trading help traders understand how different factors like price movement, time, volatility, and interest rates affect the price of an option. They include Delta, Gamma, Theta, Vega, and Rho. These are essential tools to help you make smart decisions in options tradin...

The JOLTS report (Job Openings and Labor Turnover Survey) plays a key role in analyzing the labor market by showing how many jobs are available, how many people are hired, and how many leave or quit jobs. This helps economists and investors understand the demand for workers, job market str...

The Kelly Criterion helps you decide how much money to invest in a single trade or bet by using a mathematical formula. It aims to maximize your long-term wealth by balancing risk and reward. This method prevents you from betting too much and losing big or betting too little and missing pr...

The Lightning Network is a second-layer protocol designed to improve the speed and scalability of Bitcoin transactions. By creating off-chain payment channels, it allows users to make faster, cheaper transactions without burdening the main Bitcoin blockchain. This network plays a crucial r...