Overlap
A transformation zone where resistance turns into support, or vice-versa
Oversold
This is when a market displays excessively low prices, due to prior heavy selling of a currency.
Parabolic SAR
A popular technical indicator for predicting upcoming trends. Its location compared with the market price determines whether to go long or to go short (buy or sell). Parabolic SAR is affective in volatile markets and works well on strong trends.
Pending Orders
Pending Order is an option in the Metatrader4 that allows traders to place the instructions in the software to permit it to execute trades once the specific market conditions is met. There are four types of Pending Orders; Buy Limit, Sell Limit, Buy Stop and Sell Stop.
Pinbar
In the study of candlesticks, the pinbar is a single candlestick that hints the traders about a possible reversal in the market. A pinbar has a small body, but a long wick usually two times the size of a candle’s body and by nature, it’s a reversal candle.
Pip
The smallest price units in a price quote. It is the fourth number after the decimal in most price quotes. A 1 pip change is a price movement of 0.0001 .
Price Action
In the study of technical analysis, the Price Action is a trading strategy that includes reading charts, candlesticks, swings (high & low), support and resistance to predict the future price and trend. It helps traders identify the buy/sell trading levels in order to profit in forex trading.
Priced In
“Priced in” refers to a situation in which all the publicly available information, forecasts, and predictions have already been taken into account by an asset. However, the market can reverse in the wake of other factual information.
Prime Broker
A prime broker is a broker offering professional services specifically geared towards hedge funds and other large institutional customers. It provides custody for assets, provides financing for leverage, and prepares daily account statements for its clients, who are money managers, hedge funds, market makers, arbitrageurs, specialists and other professional investors.
Pullback
When the price falls, or pulls, back downward from a peak. Such a movement can be interpreted as being a momentary reversal of an upward price trend, or a brief pause in a prevailing price rise.