FAQ

Based on the tracking of trades, deposits and withdrawals, CapitalGuard calculates the High Water Mark (HWM) for a given managed client account The High Water Mark (HWM) is the highest equity achieved and is used to track the highest equity achieved for client accounts.

The HWM is recalculated for all balance transactions in such a way that the drawdown on the account before the balance transaction and after the balance transaction remains the same.

For a better understanding, you can see an example of how CapitalGuard works.

You can change the password via the cTrader platform. When logging in, click on the “Forgot password”. After that, a webpage, where you can type your email, will show up. Type in your email and you will receive reset link on your registered email.
 
You can also change your password on webpage https://id.ctrader.com/.
In the top right corner, in the section where you Log in, in the password field, you can click on “Forgot?” button.
After that, a webpage, where you can type your email, will show up. Type in your email and you will receive reset link on your registered email.

Please find the registration form HERE.

Once you have sent us completed application form together with the correct documents we will process it within 1 working day. All communication with us should take place via the email address filled into the registration form.

Bank wire transfer

Bank wire transfer for SEPA payments in EUR takes usually 2-3 working days.

Cross-border payments in other currencies (e.g. USD or GBP) usually take up to 5 days. 

In case of a domestic payment within the Czech Republic (CZK), the wire transfer takes usually 1 working day. 
The speed of wire transfer depends on bank cooperation and their opening hours. 

It is required to withdraw the funds to the same bank account which was used for the preceding deposit. These bank details are automatically saved to your PurpleZone immediately after your successful deposit. In order to withdraw money to another bank account, you will be requested to send a deposit from the desired bank account. 
 
The purpose of the deposit is to identify the bank account holder. Once you deposit the funds, new bank details are then automatically saved to PurpleZone and you can request a withdrawal. It may be a deposit of any amount, which covers all necessary bank fees. Your withdrawal request is then processed within one business day and you will be notified about the approval via email. 

Card withdrawal

Funds will be received to the approved credit card within a few days after notification (up to 15 days). 

A monthly fee is calculated from the profit on the equity at the end of trading hours on the last day of the calendar month. Open positions are included in this fee as well. If an investor's account is in a loss at first and then, subsequently, turns profitable, the performance fee is charged once the loss on the account is restored.

Each ETF portfolio corresponds to a certain risk profile (high, medium, low). We assess clients' ability to cope with certain levels of risk profile during their registration, specifically on the basis of their answers to an investment questionnaire which is part of the registration process.

If the risk profile of an ETF is higher than that of the client, the client cannot be allowed to join that ETF. The risk is too high for the client.

You can find trading hours of the trading instruments in MT4 in the "Market Watch" section. Right-click on the selected symbol and choose "Specifications".

All the information about trading instruments is also available in the cTrader trading platform. Use the right-click in the window "Finder" in section “Trader” in the left menu. Right-click on the chosen instrument and select “Symbol Window”
 
From 11:59 p.m. to 0:05:59 a.m. MT4, MT5 and cTrader server time there is a trading pause for all trading symbols  due to the transfer of liquidity to next day. During this time there is low liquidity on the market which may cause a disproportionate increase of spreads. Trading is allowed from the 6th minute after midnight. 
In practice, it means that if the market price reaches a pending order at this time (e.g. stop loss or take profit) the order won’t be activated. If the pending activation price stays at the current level after the trading has been activated again, it will be filled/executed for the current market price. If the price has not reached the pending order level, the order won’t be filled/executed.

We recognize three types of clients. Each client with approved registration is evaluated as a Retail client. Second type of classification is Professional client or Eligible counterparty. Please find more information here.

Purple Trading is an international professional broker offering a high-quality environment for trading on financial markets. We are a regulated STP broker, we only offer trading accounts with variable spreads and all our real account clients’ trades are sent directly to the interbank market.

Clients of the company can trade actively by themselves, or connect their account to a selected trading strategy. And if they are interested in the long term investment they can use our ETF products.

Purple Trading also offers the opportunity to become introducing broker or strategy provider.

PurpleZone is a client environment platform which provides you with an overview of your trading accounts thanks to its synchronization with MetaTrader4 or cTrader.

In PurpleZone, you can deposit funds into your trading account, apply for withdrawals, create additional accounts or transfer funds between your accounts. Also, all information and all fees may be found there. The zone is fully responsive and adapted for viewing on mobile devices. You can log into you PurpleZone.

You can download the MT4 trading platform for free via a link that will be a part of the Welcome email. 
 
If you don’t feel like searching your inbox for the Welcome mail, you don’t need to. Just download the MT4 HERE
 
We offer MT4 in versions for PC (Windows, MAC) or Android and iOS mobile operating systems.

You can download the MT5 trading platform for free via a link that will be a part of the Welcome email. 
If you don’t feel like searching your inbox for the Welcome mail, you don’t need to. Just download the MT5 from our website.
We offer MT5 in versions for PC (Windows, MAC), like a web app or Android and iOS mobile operating systems.

Clients’ funds are insured against a potential bankruptcy of our banks (the one holding clients’ funds) up to the total amount of €100,000 per client. Our Company cooperates with EU licensed banks and keeps clients’ funds in separate client bank accounts from the company’s own funds as to ensure protection of client funds.

Additionally, the funds of every retail client are insured against a potential bankruptcy of our company based on our membership at the Investor Compensation Fund up to the total amount of €20,000. This insurance arises from European legislation and is required and monitored by the supervising institution CySEC.

The security of funds is also increased by the STP model of offered services of Purple Trading, the model without the conflict of interest. Purple Trading sends all the clients’ trades directly to the interbank market. Clients’ funds are then strictly used for trading and not for any other purposes.

The language of trading platform cTrader can be changed in the bottom left corner when you click on the “cogwheel”. Then, in the white tab, choose “General”. The first option is changing the language.

Login details (account number, password) are generated by our system after opening a trading account and are sent in a Welcome email to the email address you filled into the registration form.
Server name or IP address is as follows:

PurpleTrading-04Live: 185.97.161.82:443
PurpleTrading-01Demo: 185.97.161.236:443

Login details (account number, password) are generated by our system after opening a trading account and are sent in a Welcome email to the email address you filled into the registration form.

Server name or IP address is as follows:

PurpleTrading-Live: 185.97.161.6:443
PurpleTrading-Demo: 185.97.160.151:443

Purple Trading is a trademark owned and managed by company L.F. Investment Limited, which is a licensed brokerage house, regulated by CySEC. This company is registered with other European regulators including FCA and BaFIN.

The company is approved to the reception and transmission of orders and to the management of the portfolio. It is, therefore, an STP broker without dealing desk, which may be easily confirmed on the CySEC website. It is a transparent, fair, and, most importantly, a safe model of the service provider for a brokerage house. 

Investor’s share of the balance that is credited to the ETF or strategy provider each month. The percentage is given for one calendar year, therefore 1/12th of this fee is charged every month.

ETFs are passive investment tool that allows investors to invest in index funds. The basic principle is that ETF copies the chosen index or sector of indexes and copies these to the investors’ accounts. After meeting several requirements, the ETF investors can see a list of available portfolios in their PurpleZone they can connect to. Once the account is connected, it is not possible to interfere with the trading, however, it is possible to request disconnection at any time.

 

You will need two valid official documents for the registration: a document proving identity and a document confirming the residential address
 
The identification document - valid, colored passport copy (upper and lower side) or a two-sided copy of identity card. We need to see the whole page of the document with all its edges and corners visible.
 
Confirmation of address - address can be proved by submitting one of these accepted types of documents: 

• a utility bill (e.g. for energy, telephone, internet connection...)
• the bank account statement, bank account confirmation

 
It doesn’t have to be your permanent residence address, but it has to be the address you actually reside at. The document must contain a name, address and date of issue (not older than 6 months). The whole page of the document with all edges visible must be submitted. Screenshots are not accepted. Feel free to cover any sensitive data. 

You can upload both documents while filling out the registration form or sent them to our Support team via email later on. We are obliged to register these documents in order to be in accordance with our license conditions. We also require them to be updated once they expire. Adress-confirming document is considered valid if it's not older than 2 years since the date of issue. Don’t worry, we will notify you via the email and PurpleZone notification system in case any of these documents expire.

In case all your trading accounts have been inactive for 6 consecutive months, or in case you have not provided us with a valid ID or an up-to-date document confirming your residential address after repeated calls, we will switch all your accounts into a “dormant” status.

Once per quarter a fee of 15 EUR / 15 USD / 15 GBP / 70 zł is charged for this dormant status. In case the balance of your accounts is lower than 15 EUR the entire balance amount is deducted.

In case there is zero balance on the account, no fee is charged. The first fee is charged at the moment of the switch of the account into the dormant status, and further quarterly fees are only charged in case the account is still classified as dormant. Trading on the dormant account is not allowed. We will gladly switch your account back to active status upon request. Alternatively, you may withdraw the funds from your account. 

It is a technical function that monitors the development of equity on a specific managed account connected to a strategy. If the maximum allowable drawdown loss is exceeded, CapitalGuard will disconnect the account from the strategy and automatically close all trading positions in that managed account and clear all pending orders. This effectively prevents further potential losses.

Based on the tracking of trades, deposits, and withdrawals, CapitalGuard calculates the High Water Mark (HWM) for a given managed account. The HWM is the highest equity achieved, which is used to track the highest account balance achieved for client accounts. The HWM is recalculated with each balance transaction in such a way that the drawdown on the account before the balance transaction and after the balance transaction remains the same.

No new positions are opened on the investor's account during the time period spanning from the activation of the CapitalGuard (and closing of trading positions) to the successful disconnection of the investor’s account from the strategy. For a better understanding, you can see an example of how CapitalGuard works.

Overview of financial leverage is available at our website.

1. Display available trading symbols

MT4 on PC

After logging into MT4, right-click on a Market Watch window on the left side of the trading platform and choose the “Show All” option. For trading on the STP account, use all symbols with “_stp” suffix. So that if you want to trade, for example, the EURUSD currency pair, choose the “EURUSD_stp” symbol. Symbols without a suffix are not available for trading.

MT4 for mobile apps

Download the MetaTrader 4 app and log in to your account.

Android

MT4 app login.

Click on the Settings icon (3 lines in the upper left corner) → Manage Accounts → “+” → “Login to existing account”. In the search bar, choose the PurpleTrading-01Demo server for a demo account or PurpleTrading-04Live for a Live account.

Click on a “Markets” → “+” → You can add trading symbols you wish to trade in the upper right corner. For example “ECN Forex” → “+” → “EURUSD_ecn”.

iOS

MT4 app login.

Click on the Settings → New Account → Login to existing account. Choose the PurpleTrading-01Demo server for a demo account or PurpleTrading-04 for a Live account.

Click on a “Markets” → “+” → You can add trading symbols you wish to trade in the upper right corner. For example, open the “ECN Forex” and click on the green “+” symbol afterward. This will show you available trading symbols.

cTrader

With the cTrader trading platform, all symbols without a suffix are available.
 

2. Market interruption - when it’s not possible to trade

In the time between 23:59 and 0:05:59 (server time on MT4 and cTrader platforms), there is a trading interruption affecting all trading symbols (with the exception of cryptocurrencies) caused by the transferring of liquidity into the following day. During this time, low liquidity is typical for the market. This can lead to uneven spreads. Trading is enabled again after 0:06.

In reality, this means that the opening or amending of new positions is not available and in case the market reaches the desired price (for stop-loss or take profit, etc.) during this time, the order will not be processed. It will be processed only in case the desired price level is reached after the 0:06 when it’s possible to trade again.

You can trade cryptocurrencies during the 5 working days without any limitations. For example, from Monday 0:00 to Friday 23:30 (server time). Each and every open position is closed automatically by Friday 23:30 (MT4 server time).

An accumulation is a price formation that occurs at the lower levels of a trend. It is an area where the market moves sideways and active buying occurs. The opposite of accumulation is distribution.
 

In accordance with strict AML politics (Anti-Money Laundering policy), our financial regulator may require a confirmation of the source of the deposited funds. The conditions for requiring this confirmation are part of our internal policies and may be based on the inconsistency of your investment profile with the reality, or the amount of your deposit, etc.

The source of funds can be supported by a relevant document (e.g. by bank statement, payslip, tax return, lawyer’s confirmation, etc.). If you are considering investing a larger amount of funds we recommend attaching the source of funds upfront, which ensures smooth crediting of the funds to your trading account. 

The language of trading platform MT4 can be changed in the upper menu bar by "View" -> "Languages".

The language of trading platform MT5 can be changed in the upper menu bar by "View" -> "Languages".

After installing the Purple Trading cTrader application on your mobile device, open the app, enter your email and password and click on “Login” Email and password are the same as in the desktop platform.

You can transfer your funds between your trading accounts via an internal transfer in PurpleZone. After login, select "Transfer" and then choose the account from which and to which you want to move your funds. The transfer will take place almost immediately.

Due to AML policy (Policy Against Money Laundering), it is not allowed to transfer funds to a trading account which belongs to another person.

In case of transfer of funds to an account in a different currency, the amount is converted by spot rate directly from the financial market + max. 1% fee of the total amount transferred (the system will display the resulting amount in advance). Transfer of funds between accounts in the same currency is free.

In case you deposited funds by card you can choose either to refund the initial deposit to the same card or to your bank account. If the withdrawn amount exceeds the credit card deposit, then a bank withdrawal is required for the additional funds.

In case you deposited funds by wire transfer, it is only possible to withdraw the funds to this bank account. The bank details are automatically saved to your PurpleZone immediately after your successful deposit.

In order to withdraw money to another bank account, you will need to send a deposit from the desired bank account. The purpose of the deposit is to identify the bank account holder. Once you deposit the funds, new bank details are then automatically saved to PurpleZone and you can request a withdrawal. You can deposit any amount which covers all necessary bank fees. Your withdrawal request is then processed within one business day and you will be notified about the approval via email. 

Hedging is used to secure trading positions against possible adverse changes in market conditions and the risk of loss. Hedging is opening a position on the same trading instrument but in the opposite direction (e.g. for each buy order there should be a corresponding sell order).

Trading position can be hedged partially or completely. Every broker can set up its own conditions for hedging. In order to allow the traders the freedom of management of their trades, we have decided not to charge margin for these trades. However, more freedom means more responsibility. Since there is no margin used, it is impossible to reach stop-out, but in case the equity level decreases under 0, MT4 server automatically closes trading positions. It is impossible to have an opened loss larger than the account balance in the market. Hedging does not cause spontaneous deepening of losses, but there may be fluctuations because of the changing spread.    For the closing of hedged positions, Close-by or Multiple close by function may be used, which closes both hedged positions simultaneously (see the picture below). Completely hedged positions do not have any exposure between each other, therefore it is possible to close one position at the price of the second one. A side effect is spread saving.

Due to the immediate processing of withdrawals, complete responsibility for entering withdrawals during hedging is entrusted to the client. The company bears no responsibility for any losses.

Investment questionnaire is a tool used for protection of the clients and their capital against an investment which they do not understand and which may cause a significant loss to them. This questionnaire is a part of the registration form; it evaluates the clients’ investment knowledge and experience, their financial situation, and investment objective. 
 
Based on the answers to carefully formulated questions, every client is assigned an investment profile that aligns with the offered services, such as choice of investment strategies. The clients are recommended to fill out the questionnaire carefully and truthfully. The result is always sent to the client via email, and it may also be found in PurpleZone. The obligation to fill out the investment questionnaire during the registration of a new client is defined by The Act of Capital Market Undertakings and integrated into it due to unified European guideline MiFID.

Overview of financial leverage is available at our website.

1. Display available trading symbols
 
MT4 on PC
After logging into MT4, right-click on a Market Watch window on the left side of the trading platform and choose the “Show All” option. For trading on the STP account, use all symbols with “_stp” suffix. So that if you want to trade, for example, the EURUSD currency pair, choose the “EURUSD_stp” symbol. Symbols without a suffix are not available for trading.
 
 
MT4 for mobile apps
Download the MetaTrader 4 app and log in to your account.
 
Android
MT4 app login.
Click on the Settings icon (3 lines in the upper left corner) -> Manage Accounts -> “+” -> “Login to existing account”. In the search bar, choose the PurpleTrading-01Demo server for a demo account or PurpleTrading-04 for a Live account.
 
Click on a “Markets” -> “+” -> You can add trading symbols you wish to trade in the upper right corner. For example “ECN Forex” -> “+” -> “EURUSD_ecn”. 
 
iOS
MT4 app login
Click on the Settings -> New Account -> Login to existing account. Choose the PurpleTrading-01Demo server for a demo account or PurpleTrading-04 for a Live account.
 
Click on a “Markets” -> “+” ->  You can add trading symbols you wish to trade in the upper right corner. For example, open the “ECN Forex” and click on the green “+” symbol afterward. This will show you available trading symbols.
 
cTrader
With the cTrader trading platform, all symbols without a suffix are available.
 
2. Market interruption - when it’s not possible to trade 
In the time between 23:59 and 0:05:59 (server time on MT4 and cTrader platforms), there is a trading interruption affecting all trading symbols (with the exception of cryptocurrencies) caused by the transferring of liquidity into the following day. During this time, low liquidity is typical for the market. This can lead to uneven spreads. Trading is enabled again after 0:06.
 
In reality, this means that the opening or amending of new positions is not available and in case the market reaches the desired price (for stop-loss or take profit, etc.) during this time, the order will not be processed. It will be processed only in case the desired price level is reached after the 0:06 when it’s possible to trade again.
You can trade cryptocurrencies during the 5 working days without any limitations. For example, from Monday 0:00 to Friday 23:30 (server time). Each and every open position is closed automatically by Friday 23:30 (MT4 and cTrader server time).

The US session runs from 14:30 - 22:00 (GMT + 2). During this period, volumes increase. The highest volatility is around 15:30 -16:00 (GMT + 2).

Margin call level is set up to 100% of the used margin (the equity of the account is equal to the used margin). If the margin level drops to this value, the client is notified to fund his account to keep the positions open or to be able to open new trades. Notification is displayed directly in MT4 and cTrader and at that moment it is not possible to open another trading position.  The stop-out level is set to 50%. If margin level falls to this level, MT4 or cTrader server automatically closes the trading position, which is in the biggest loss, until the margin level is again at least 50%.

Login details (email and link for creating a password) are generated by our cTrader systems after opening a trading account and are sent in a Welcome email to the email address you filled into the registration form. There is only one password for all of the cTrader accounts linked with one email, so there is no need to remember more passwords.

Withdrawal can be requested from PurpleZone in the "Withdraw" section. If you deposit funds via bank transfer, you can withdraw funds to your bank account only. In case you deposited funds by card you can choose either to refund the initial deposit to the same card and in the same currency or use a bank withdrawal.

Each month a due date for accepting deposits in order to invest in the ETFs in the given period is set. You can find this date after clicking the selected portfolio in your PurpleZone.

The ETF's purchase takes place once a month, during the week that includes the 3rd Thursday of the month. The ETF purchase process takes one day. Therefore, you will be able to see your newly open positions in your PurpleZone on the first Monday after the purchase day.

When the purchase is completed, the adequate amount will be deducted from your deposit and in that moment your positions will open. The ETF’s purchase takes place outside the MT4 platform. The ETF prices are updated 3-4 times a day.

You can of course invest regularly in your chosen ETF portfolio, but this is not a requirement. In case you will choose to finance your ETF portfolio only once, new positions next month will simply not open.

Unfortunately, it is not possible to withdraw your funds from an account with connected ETF portfolio. Thus if you want to withdraw, please ask for disconnection from the ETF in your PurpleZone. After the disconnection, you can withdraw the total remaining balance from the account.

The quantity of trading accounts is not limited.

Completing the registration form is only necessary for the opening of the first trading account. You can open an additional account by clicking on the button with “+ Create New Account” and by choosing the desired account type, trading platform, and currency afterward. We will send you a confirmation together with access data to your registered email address.
 

They are managed services that allow investors to copy trades of professional traders. The basic principle is that Purple Trading buys trading signals from a Strategy Provider and copies these to the investors’ accounts. After meeting several requirements, the investors can see a list of available strategies in their PurpleZone they can connect to. Once the account is connected, it is not possible to interfere with the trading, however, it is possible to request disconnection at any time, or to withdraw profit. 

It is a legal entity which conveys access to the capital market to its clients, therefore buys and sells stocks or other financial instruments on behalf of the clients and offers other related services. Brokerage house receives orders from clients and executes them on their behalf, which differentiates it from a dealer, which conducts trades on its own account.

In the Czech Republic, the CNB  grants permission for this type of activity. Companies may only become a brokerage house via an investment firm or an investment tied agent. Purple Trading / L.F. Investment Limited has a tied agent registered in the Czech Republic. 

“Retail client” is afforded with the highest level of protection and is allowed to trade with maximal leverage 1:30 for Forex Major pairs.
 
“Professional client” is a client who possesses the experience, knowledge and expertise to make its own investment decisions and properly assess the risks that it incurs. Balance limits for financial leverage are displayed on our website.
 Please find more information here on who is allowed to be treated as elective Professional client.

“Eligible counterparty” is a subset of professional clients, applicable only when the service provided to such professional client is of receiving & transmitting and/or executing orders. 

History of closed trades can be found in the MT4 trading platform. After logging in select "Account History" tab in "Terminal" section. By right-clicking on the window and selecting "Other period", you can change the period of displayed transactions. You can also generate a report with transaction history by clicking on "Save report".

History of closed trades can be found in the MT5 trading platform. After logging in select "Account History" tab in "Terminal" section. By right-clicking on the window and selecting "Other period", you can change the period of displayed transactions. You can also generate a report with transaction history by clicking on "Save report".

Only Purple Trading clients with a real active trading account can log into PurpleZone. So if you have only a demo account you won’t be able to access PurpleZone.

If you have forgotten your password, you can reset it by clicking on Forgot password on the login page.

In case of any problems with logging in, please contact our Support team at support@purple-trading.com.

Yes, there is. Trading orders from a demo account are not executed on the interbank market, so the trading is just virtual.

We try to make the conditions of a demo account to match conditions of a real account as much as possible so that you can try trading basics and work with MetaTrader4 or cTrader trading platforms.

There are no delayed data set up on demo account - bars are forming according to the market conditions in real-time. Execution on demo accounts is instant, i.e. every trading order is always opened and closed immediately after entering and always at a given price.

On a real account, every trading order is executed on the interbank market and must be paired with its counterpart. This process is not instant and can take up to several hundred milliseconds. During this time, the best current price on the market may change and the order can be filled at a slightly different price, therefore slippage may occur. The final price may be influenced positively or negatively by this.

It is a way of trading in which the trader does not speculate on a fall or rise in price. It is a method that takes advantage of price differences for the same instrument in different markets. The trader buys the instrument in one market and sells in another market.

As a retail client, you cannot change the leverage as this process is possible for professional clients only. Every live trading account is automatically opened with leverage given by ESMA regulation. Since each instrument has given leverage, feel free to check the overview of instruments with specific leverage which can be found on our website.

The highest possible leverage for professional clients is 1:500. How to become a professional trader and what is the available leverage please take a look on our website. (Leverage 1:500 is valid only for forex, the leverage is not taken into account for CFD trading.)

In the event of forgetting your MT4 platform password, you may set up a new one in PurpleZone. Log in and click on the account you wish to change the password for. Click on the cogwheel next to the “Deposit” and “Withdraw” buttons. In the section “Password for MT4” choose “Master password,” put in your new password twice and save changes. 
 
If you have access to PurpleZone, you can reset demo account password in the same way as was mentioned before for real trading account.
 
You can also change the password via MT4. However, you need to know your existing password in order to do so. Use the keyboard shortcut "Ctrl + o" (Options) and click on the "Server" tab. Afterward, choose the "Change" button. First, fill in your current master password, then fill in the new one twice below and confirm with "OK". 

In the event of forgetting your MT5 platform password, you may set up a new one in PurpleZone. Log in and click on the account you wish to change the password for. Click on the cogwheel next to the “Deposit” and “Withdraw” buttons. In the section “Password for MT5” choose “Master password,” put in your new password twice and save changes. 
 
If you have access to PurpleZone, you can reset demo account password in the same way as was mentioned before for real trading account.
 
You can also change the password via MT5. However, you need to know your existing password in order to do so. Use the keyboard shortcut "Ctrl + o" (Options) and click on the "Server" tab. Afterward, choose the "Change" button. First, fill in your current master password, then fill in the new one twice below and confirm with "OK". 

In this case, you don’t need to fill out the registration form again from scratch. After login to PurpleZone, you can request the opening of a new account by clicking on the “+ Create new account” button, where you can also set up more specific details. We will send you an email confirmation together with login details to your registered email address. 

After login to cTrader, click on the 3 lines in the top right corner, go to “Trader” and choose “Finder”. There you will find all the available instruments divided into groups.

You can send us a request to support@purple-trading.com. The email must contain the demo account number, the requested amount and you must send it from the same email address that you used for the registration of the demo account. The default balance is based on the amount filled out in the registration form for the demo account. 

In case you have access to PurpleZone, you can increase your demo account balance yourself. Just click on the account you want to add funds to in the "Accounts" section and click on the "Deposit" button.

Purple Trading can not guarantee any profit from the financial markets and also doesn’t refund potential losses. Please, bear in mind that there is a chance you will suffer from loss of part or whole of the initial investment and it is therefore not advised to invest funds you cannot afford to lose. You should be aware of all risks related to trading on the exchange market and seek help from an impartial financial advisor in case of need or doubt. 

Purple Trading can not guarantee any profit from the financial markets and also doesn’t refund potential losses. Please, bear in mind that there is a chance you will suffer from loss of part or whole of the initial investment and it is therefore not advised to invest funds you cannot afford to lose. You should be aware of all risks related to trading on the exchange market and seek help from an impartial financial advisor in case of need or doubt. 

The legal relationship between the client and Purple Trading begins with proper approval of the registration, followed by opening a trading account. When filling out the registration form, every client accepts the Terms and Conditions of Purple Trading and agrees with the documentation in the English language. Once the account is created, the client receives the Terms and Conditions which he has agreed with.

Disconnection from a strategy may be requested via PurpleZone when choosing the option “Disconnect from the strategy.” We guarantee disconnection within 1 working day for the majority of the strategies. You will be informed about disconnection via email.

You can reset the password for PurpleZone login by clicking on the link Forgot password on the login page.

Fill in your registered email address on the next screen and click on “email me a password reset link”. You will receive further instructions on how to change your password in your inbox. If the problem persists, contact our Support team at support@purple-trading.com. 

Indicates, in dollars, the total sum of the volumes of all open positions that a strategy can use at one time with an equity of $10,000.

Purple Trading offers 2 deposit methods: wire transfer and credit card deposit. 

You can find instructions on how to deposit in PurpleZone’s “Deposit” section. In accordance with the AML policy (Policy Against Money Laundering), the owner of the trading account must also be the owner of the bank account (card). Deposits from third parties are not accepted, as well as payments through prepaid cards.

Credit card deposit

It is an instant payment, we receive the deposit immediately. In order to be able to deposit funds via credit card, it is necessary to have it approved by providing a scan of the credit card. It may be attached when requesting a deposit in PurpleZone. Once the credit card is approved, you will be notified via email. Afterward, deposits to the account from this credit card are credited automatically within a few minutes. As a client of Purple Trading, you are allowed to deposit with a card up to 60 000 EUR in total for each month.

Our trading server which is located in London, Equinix (LD4), is directly connected to our liquidity pool. 
Therefore the speed of execution of trading orders reaches only around 100 milliseconds.

More information can be found on our website, where we have more information about our trading statistics.

 

 

 

The investor password is used for logging into the MT4 trading account but without the possibility to open, close, or modify any trading positions, i.e. it is a read-only mode password. Investor password for real trading account can be set or changed via PurpleZone by logging in, clicking on the “Accounts” button, then on the specific account and then on a cogwheel symbol next to “Deposit” and “Withdraw” buttons. Once the account settings menu pops-up, click on “Investor Password”, fill in your new investor password twice and click on “Save Changes”. 
 
You can also change the investor password via MT4 through the keyboard shortcut "Ctrl + o" (Options) and by clicking on the "Server" tab. Afterward, choose the "Change" button and check the "Change investor (read-only) password" box. First, fill in your current master password, then fill in the new investor password twice below and confirm with "OK". Your master password will remain unchanged. 

The investor password is used for logging into the MT5 trading account but without the possibility to open, close, or modify any trading positions, i.e. it is a read-only mode password. Investor password for real trading account can be set or changed via PurpleZone by logging in, clicking on the “Accounts” button, then on the specific account and then on a cogwheel symbol next to “Deposit” and “Withdraw” buttons. Once the account settings menu pops-up, click on “Investor Password”, fill in your new investor password twice and click on “Save Changes”. 
 
You can also change the investor password via MT5 through the keyboard shortcut "Ctrl + o" (Options) and by clicking on the "Server" tab. Afterward, choose the "Change" button and check the "Change investor (read-only) password" box. First, fill in your current master password, then fill in the new investor password twice below and confirm with "OK". Your master password will remain unchanged. 

You can find it under the graphs section, there is a section with different tabs. Select tab “History” and there you can find the history of your trades and set up a time frame of displayed transactions. You can also generate a report with transaction history by clicking on the green button “Statement”

A trading account can be opened in EUR, USD, GBP, CZK or PLN.

Purple Trading offers liquidity aggregated by our liquidity providers from the largest world banks, several ECN pools and non-bank subjects of the exchange market. Please refer to the Order Execution policy for more details.

Opening, management and potential deactivation are free of charge for all trading accounts. 
 
The only fee is charged if an account is in “dormant” status. For more information about dormant accounts see chapter VI. “About Purple Trading” - question 6 “What Is dormant account?”

An ascending triangle is a continuous price formation where the bottom line is rising and the top line is horizontal.

It is possible to submit the connection request via PurpleZone. Under “FX & Crypto Strategies,” it is possible to filter these out. After clicking on a strategy, detailed information is displayed. There is also the possibility to “Connect to a strategy.” Once the request is approved, we will create a new trading account, which will be connected to a strategy when at least the minimal amount is deposited. Firstly, you choose the strategy and only then you fund the account. You will be informed about each step via email. The whole process takes less than one working day.

After login to MT4, go to the "Market Watch" section, use the right click and choose the option "Show All." Alternatively, instead of choosing “Show all” choose “Symbols” - this way you can also see all the available trading instruments organized in groups you can display or hide individually.

After login to MT5, go to the "Market Watch" section, use the right click and choose the option "Show All." Alternatively, instead of choosing “Show all” choose “Symbols” - this way you can also see all the available trading instruments organized in groups you can display or hide individually.

To add instruments in the web platform, just click the instrument button, then find the desired instrument and use the “+” symbol to add it.

For bank transfer deposit, we offer an account in EUR, USD, GBP, PLN and CZK. For transferring funds, we recommend choosing an account matching the currency of your bank account (payments in a different currency are then converted by the bank at their own conversion rate which is usually less convenient than our conversion rate). 

Any currency conversion of deposit, internal transfer or withdrawal is calculated based on the following rules: The amount is converted by spot rate directly from the financial market + max. 1% fee of the total amount transferred. In the case of internal transfer, the system will display the resulting amount in advance. Transfer of funds between accounts in the same currency is free. 

Purple Trading offers the clients the ability to trade actively by themselves, use ETF products for long term investment or to connect their account to a selected trading strategy.

Strategies are using signals from professional providers and it is not possible to interfere with the trading, as the trading signals are being copied to clients’ accounts. The clients may monitor their trading performance in PurpleZone and they may ask for disconnection from the strategy at any time, which is then guaranteed to be executed within the following 24 business hours.

This service is strictly regulated and we can offer it only to clients who are aware of all the risks which this type of investment carries. The clients must meet certain conditions. This is evaluated based on the answers from the registration form, or from investment questionnaire. 

ETF Portfolios are a regulated investment service and, unfortunately, we cannot offer these to everyone. The option to connect to an ETF portfolio is only offered to clients whose investment profile is evaluated as Appropriate and Suitable for ETF investing based on the answers in the investment questionnaire. This questionnaire is a part of the registration form and the input data may be updated via PurpleZone.

Slippage depends on current market liquidity. Under normal market conditions, the slippage is around zero. In case of scalping during the release of macroeconomic news, it may be several tens of pips. Our server is connected to our liquidity pool and they are both located in London. This ensures excellent market depth for filling up the high volume trades and also reduces slippage. We also allow positive slippage in clients’ favor.
Transparent statistics of execution of trading orders available on our website.

cTrader trading platform can be downloaded for free from out website. We offer cTrader in versions for PC in the form of a desktop application (Windows, MAC), web application, available in any web browser (Windows, Linux, MAC) or Android and iOS mobile operating systems.

The Asian trading session runs from 01:00 - 10:00 (GMT + 2). The main players are the exchanges in Australia, Japan and Hong Kong.

Yes, you can open a trading account for a legal person that is registered in the European Union. If you want to know more about the conditions for the establishment of a corporate trading account, feel free to contact our Support team at support@purple-trading.com.

Your investment profile may be re-evaluated. To do so, however, you must fill out your investment questionnaire in PurpleZone once again.

Once logged in, click on Settings on the bottom left, and then you can go to the Investment Questionnaire by clicking on the "Open Questionnaire" button. The data in the investment questionnaire may be updated 14 days the earliest after the previous submission. We will inform you about the re-evaluation of your answers via email.

In case frequent changes or significant differences in the questionnaires are recorded, we might require a clarification of the changes you have made or for documents supporting these changes. 

All opened and closed positions, as well as strategies’ performance may be found in PurpleZone. PurpleZone is synced with trading platform MT4, therefore it shows your profit accurately, including the profit after deduction of all fees.

Detailed pricing is stated by individual requests in PurpleZone. However, if a basic overview is what you searching for then this LINK will do.

All offered currency pairs (Forex) and CFD for stock indicies can be traded with the minimum volume step 0.01 lot, i.e. you can open a trading position of 0.02 lot, 0.78 lot or 2.14 lots.

For CFDs for commodities the minimum volume and the volume step are available in the MT4 platform. In the "Market Watch" use right-click and choose Specification of the chosen symbol.
This information can be also found in cTrader, right-click in the window "Finder" in section “Trader” in the left menu. Right-click on the chosen instrument and select “Symbol Window”.

Specification of all trading instruments can be found on our website.

Market maker broker is an individual market participant, that quotes buy and sell prices on its own. Market maker broker is on the opposite side of each trade. The goal of market maker broker is to make a profit on their clients based on a spread and the price of the instrument, that he creates. 
 
STP broker is not an individual market participant. All orders are routed to the brokers' liquidity providers, therefore, he is not on the opposite side of the trade and he is not creating prices by himself.
 
Purple Trading is an STP broker. As we believe that this is the right way to ensure a transparent and fair environment for all of our clients.

All the information about trading instruments is available in the MT4 trading platform. Just right-click on the given symbol and choose "Specifications" in the window "Market Watch". In this section, you will find information about the minimum/maximum trading volumes, swap, trading hours, etc. You can find the list of trading instruments also on our website.

All the information about trading instruments is available in the MT5 trading platform. Just right-click on the given symbol and choose "Specifications" in the window "Market Watch". In this section, you will find information about the minimum/maximum trading volumes, swap, trading hours, etc. You can find the list of trading instruments also on our website.

The offering price on the market for which the buying positions are executed and selling positions are closed. It is higher than BID price.

No, this is  not possible. In accordance with our AML policy (Policy Against Money Laundering), we cannot accept deposits or withdrawals in cash, as we are unable to identify the source of the funds.

For deposits, please choose either a bank wire transfer or card.

It is possible to submit the connection request via PurpleZone. You can filter these out under the “ETF Portfolios”. After clicking on a Portfolio, detailed information is displayed. There is also the possibility to “Connect to a Portfolio.” Once the request is approved, we will create a new trading account, which will be connected to a Portfolio as soon as you deposit at least the minimal amount. First, you choose the portfolio and only then you fund the account. We will keep you informed about each step via email. The whole process takes less than one working day.

Your investment profile may be re-evaluated, the investment questionnaire must be, however, filled out again in PurpleZone.

Once logged in, click on Settings on the bottom left, and then you can go to the Investment Questionnaire by clicking on the "Open Questionnaire" button. The data in the investment questionnaire may be updated 14 days the earliest after the previous submission. We will inform you about the re-evaluation of your answers via email. In case frequent changes or significant differences in the questionnaires are recorded, we might require a clarification of the changes you have made or documents supporting these changes. 

Request for deactivation of a trading account must be sent via the registered email address of the client to our Support team to support@purple-trading.com. Deactivation can be processed only with a zero balance on the account and it can take up to 5 working days.

Purple Trading gives great priority to the protection of personal data of their clients and is focused on keeping them safe at all times.

You can read more about this topic in Terms and conditions here, on page 16.

The minimum deposit for trading is set to 100 USD / 100 EUR / 100 GBP / 400 PLN for ECN and STP account types. You cannot trade until this amount of funds is credited into your account. 

All the information about trading instruments is available in the cTrader trading platform. Use the right-click in the window "Finder" in section “Trader” in the left menu. Right-click on a chosen instrument and select “Symbol Window”. In this section, you will find information about the minimum/maximum trading volumes, swap, trading hours, etc. The list of trading instruments can also be found on our website.

The most common problems with the opening of trading positions include:
 
a) Connectivity problems - Verify that the data is loading in the bottom right corner in MT4. This way, you can tell whether the connection and log in to a trading account are working. If the platform says “No connection”, it means that the connection to the server has failed (most likely due to internet connection issues). If the platform says “Invalid account”, it means you are not logged in and you are entering your login details incorrectly or that the account does not exist on the chosen server (verify if you have chosen the correct server as well). In this case, try again and double-check the information you are entering (no extra spaces; the name of the server has to be chosen from the list, not manually typed). New password for MT4 may be set in your PurpleZone without having to know the current password. The change is effective immediately.
In case you cannot find the name of the server in your platform, use the following IP addresses:
 
PurpleTrading-04Live: 185.97.161.82:443
PurpleTrading-01Demo: 185.97.161.236:443
 
b) The symbol isn't available for trading - If you have an ECN account type, trade symbols named e.g. "EURUSD_ecn" and STP type “EURUSD_stp” (not EURUSD). Symbols without any suffix are not available for trading. All trading symbols can be accessed by right-clicking in the window “Market Watch" and selecting "Show all". All symbols available for your account type are black, inadequate ones are faded out. 
 
c) Wrong order volume - Verify if the trading volume is correct (i.e. it matches to the minimal lot and step lot values) and also verify the free margin.
 
d) Trading out of trading hours - Trading hours can be found in MT4. Use the right-click in the window "Market Watch" on the symbol and select the "Specifications". Please be informed that during the night transfers of liquidity pools the trading is disabled and it is therefore not possible to open, manage or close any trading order between 23:59:00 - 00:05:59 (MT4 time).
 
e) Check whether you are not logged in under investor password, which is for read-only mode. For trading, it is necessary to log in under the master’s password.
 
If, after checking the above, the problem persists, please send a screenshot of the whole platform to the  Support team at support@purple-trading.com for a diagnosis, we will gladly help you solve the problem.

The most common problems with the opening of trading positions include:
 
a) Connectivity problems - Verify that the data is loading in the bottom right corner in MT5. This way, you can tell whether the connection and log in to a trading account are working. If the platform says “No connection”, it means that the connection to the server has failed (most likely due to internet connection issues). If the platform says “Invalid account”, it means you are not logged in and you are entering your login details incorrectly or that the account does not exist on the chosen server (verify if you have chosen the correct server as well). In this case, try again and double-check the information you are entering (no extra spaces; the name of the server has to be chosen from the list, not manually typed). New password for MT5 may be set in your PurpleZone without having to know the current password. The change is effective immediately.
 
b) The symbol isn't available for trading - If you have an ECN account type, trade symbols named e.g. "EURUSD_ecn" and STP type “EURUSD_stp” (not EURUSD). Symbols without any suffix are not available for trading. All trading symbols can be accessed by right-clicking in the window “Market Watch" and selecting "Show all". All symbols available for your account type are black, inadequate ones are faded out. 
 
c) Wrong order volume - Verify if the trading volume is correct (i.e. it matches to the minimal lot and step lot values) and also verify the free margin.
 
d) Trading out of trading hours - Trading hours can be found in MT5. Use the right-click in the window "Market Watch" on the symbol and select the "Specifications". Please be informed that during the night transfers of liquidity pools the trading is disabled and it is therefore not possible to open, manage or close any trading order between 23:59:00 - 00:05:59 (MT5 time).
 
e) Check whether you are not logged in under investor password, which is for read-only mode. For trading, it is necessary to log in under the master’s password.
 
If, after checking the above, the problem persists, please send a screenshot of the whole platform to the  Support team at support@purple-trading.com for a diagnosis, we will gladly help you solve the problem.

Aussie is a slang term for Australian It is sometimes used specifically for the AUD/USD currency pair.

No, this is not possible. In accordance our AML policy (Policy Against Money Laundering), we cannot accept deposits or withdrawals to or from a third party.

Deposits may only be credited from the bank account (or credit card), whose only holder is the owner of the trading account. The third-party deposits will be refunded back to the sender. 

Disconnection from a Portfolio can be requested via PurpleZone when choosing the option “Disconnect from ETF Portfolio.” We guarantee disconnection within 1 month. Once it's done, we will inform you via email. If you want to speed up the whole process you can request urgent disconnection. However, you will be charged 15 EUR per Portfolio.

After installing the MetaTrader 4 application on your mobile device, open the app, click on the "+" symbol and select the option "Login to an existing account." Server name and login details are the same as when logging in on the computer.

After installing the MetaTrader 5 application on your mobile device, open the app, click on the "+" symbol and select the option "Login to an existing account." Server name and login details are the same as when logging in on the computer.

If you are interested in starting an IB (introducing partner) cooperation with us click here for more information. There’s also a short form for completing the application. After filling it in, be ready to be contacted by our sales team. Or if you don’t like waiting, you can email us directly at sales@purple-trading.com.

Managed services are a regulated investment service and we cannot offer these to everyone. The option to connect to an investment strategy is only offered to clients whose investment profile is evaluated as Appropriate and Suitable based on the answers in the investment questionnaire. This questionnaire is a part of the registration form and the input data may be updated via PurpleZone. 

All client deposits are deposited in segregated bank accounts with EU-regulated banks. Where they are completely separated from the assets of Purple Trading. Among other we use Czech and Slovak banks such as Unicredit, and PPF.

Our servers are located in Equinix data centers in London (LD4). LD4 Server is set to EET time zone (Eastern-European time). This setting is used so that the closing of a daily bar corresponds to the New York trading closing time (17:00 EST). Trading therefore always starts on Sunday at 23:06 CET and ends on Friday at 22:59:59 CET. 

The most common problems with the opening of trading positions include:
 
a) Connectivity problems - Verify that the data is loading in the bottom right corner in cTrader and that the graphs are moving. This way, you can tell whether the connection and login to a trading account are working.
 
b) Wrong order volume - Verify if the trading volume is correct (i.e. it matches to the minimal lot and step lot values) and also verify the free margin.
 
c) Trading out of trading hours - Trading hours can be found in the cTrader trading platform. Use the right-click in the window "Finder" in section “Trader” in the left menu. Right-click on a chosen instrument and select “Symbol Window”. Please be informed that during the night transfers of liquidity pools the trading is disabled and it is therefore not possible to open, manage or close any trading order between 23:59:00 - 00:05:59 (cTrader time).
 
If, after checking the above, the problem persists, please send a screenshot of the whole platform to the  Support team at support@purple-trading.com for a diagnosis, we will help you solve the problem.

A graphical representation of the price of an instrument. Usually shows the opening, closing, high and low price within a specific time period.

Unfortunately, we do not provide historical data, however, it is possible to take a look at short-term MT4 platform data which are quantified by the number of bars and are not fixed to a specific time frame. The amount of stored bar data is limited by the server. For example, for M1 timeframe we store data about 2 weeks to the past. Historical data of third parties can be imported into MT4 through the "History Center", and into cTrader through “Automate” tab.

Let us know by filling out a short form on our website where you will also find more information, or email us at sales@purple-trading.com. Our sales team will contact you shortly.

You can access the list of currently available portfolios in PurpleZone under “Etf Portfolios” in the top right corner. This bar is automatically available only to clients with a suitable risk profile. Whether you have a suitable risk profile or not is evaluated based on the investment questionnaire during registration or after its reevaluation in the PurpleZone.

The list of the currently available investment strategies is accessible in PurpleZone under “FX & Crypto Strategies” in the top right corner. This bar is automatically available only to clients with a suitable risk profile, which is evaluated based on the investment questionnaire during registration, alternatively after its re-evaluation in the PurpleZone.

In accordance with the License conditions, any individual (at least 18 years old) or legal entity who fills out a registration form, accepts the Terms and Conditions and provides the necessary documents for registration including a document proving the postal address in EEA may open an account.

It is the first currency in a currency pair. For example, in the EURUSD currency pair the base currency is the EUR.

No. Purple Trading is a regulated broker and according to the new European regulations (ESMA), it is not possible for any retail client account to get to a negative balance due to unfavorable market conditions. However, if this were to happen, we are bound to ensure the termination of trading positions and therefore preventing you from getting to a negative balance in your trading account. In the event that your account balance does get into negative numbers, you as a retail client, are not obliged to pay for this loss.

All opened positions, as well as portfolios‘ performance, may be found in PurpleZone. PurpleZone is synced with trading platform MT4, therefore it shows your profit accurately, including the profit after deduction of all fees. 

You can change your email address any time you want. Just send an email request to our customer support. Also, bear in mind that this request must be sent from the originally registered email address. If you cannot log into your email we will accept a request from the new email address too but we will need you to take a selfie while holding your passport or ID. Let us assure you that this is not some kind of new viral trend but a security measure that we have to follow in these cases.   It takes up to 1 business day to change the email address.

Purple Trading trading obtains signals from professional private traders and copies these to the investors’ accounts. These traders must meet strict requirements and pass testing period of trading on Purple Trading real account.

If you are having trouble requesting a withdrawal in PurpleZone, please check your balance on your trading account to make sure you are requesting the correct amount. Please note that in order to protect your capital and open positions, we can not approve withdrawal request which would cause a margin level to drop below 100%. 
 
Confirmation of a successfully submitted request will appear in a purple bar at the top of PurpleZone and an email confirmation will follow.
 
If you wish to withdraw the entire balance, it is necessary to disconnect your account from the strategy first. You can do so by clicking on the “Settings” icon displayed for the respective account and then selecting “Connection” → “Disconnect from strategy”. You will be informed about the disconnection via email. Once your account is disconnected, you may proceed with the withdrawal of the entire balance. 
 
Please note that in case your investor’s account is in profit, a Performance fee may be deducted. This fee is deducted during the following month. In case you decide to disconnect from the strategy and withdraw your funds before the fee is deducted, you will be asked to make a request for a new withdrawal of an amount which includes the fee already.

Types of orders MARKET SELL, SELL or SELL STOP LIMIT are opened at the BID price (The best possible price at this moment at which you can make a sale). During execution, the orders SELL STOP / LIMIT change into MARKET SELL order and they are subsequently closed at an ASK price (the best possible price at the moment at which you can make a purchase - higher than the BID price).

The chart is created by BID price and therefore if the price displayed on the chart reaches the exactly defined order Take Profit, the position is not closed until the Take Profit is reached by the ASK price. It is possible to display the ASK price in the graph after pressing F8 and by checking the option “Show ask line“ under “General.”

The same applies vice versa for a potential hit of Stop Loss for SELL trading positions. They will be executed even though the drawn BID price in the graph did not reach Stop Loss, but the ASK price did.  

It is a designation for a falling market.

Yes, under certain conditions you may become a Strategy Provider for Purple Trading. We offer our own copying system, complete administrative support for Strategy Providers, individual Terms and Conditions and licensed environment for all the EU.

You may find the demo account registration form on our website HERE.

A demo account is created immediately after completing the form and all credentials are sent to your registered email address. You can set up the account type, leverage, currency, trading platform, and initial deposit while filling out the form. You can change all these settings later on by sending us an email request to support@purple-trading.com.

Or, if you already have a live account you can create a demo account in your PurpleZone. Log into your PurpleZone, click on the “FX and Crypto Demo” tab then click on the “+ create a new account” button. 

As soon as your investing account is disconnected you can begin with the withdrawal of your profits. Simply go to PurpleZone and click on “Withdraw”.

You can withdraw your profit after disconnecting from the strategy. You can do so in PurpleZone under the “Withdraw” button.

For the sake of connection and correct copy trading, please bear in mind that the entire account balance is not available for withdrawal. Only a certain portion of your funds can be withdrawn without the need to disconnect the account. The system is set in a way that prevents the account balance to go under the technical minimum of the strategy.

In case you wish to withdraw your entire account balance, you need to disconnect from the strategy first. Disconnecting from strategy takes usually 1 workday. Once the account is disconnected, we will send you a confirmation email and at that point, your funds will be fully at your disposal. 

Confirmation of successful strategy disconnection will appear in the purple bar in the upper section of PurpleZone and will be followed by a confirmation email.

Be aware - in case your investment account is in profit, an additional performance fee might be charged. The performance fee size is stated for each strategy in the PurpleZone. Performance fee and the management fee is deducted on a monthly basis. Each following month you are charged for the month before. In case you decide to disconnect from the strategy which charged any of these fees, and you haven’t been charged up to this point, and you also decide to withdraw your funds, you might be asked to withdraw a new amount which will be reduced by those fees. In that case, our customer care team will contact you with further instructions.

It is not possible to withdraw any balance from the accounts connected to the investment strategies in order to ensure the correct functioning of the connection and the correct functionality of the trading signal copying mechanisms.

If you wish to withdraw part of the funds or the total balance, you must first disconnect your account from the trading strategy. You can do so by clicking on the "Settings" icon displayed for the respective account and then selecting "Connection" → "Disconnect from strategy". You will be informed of the disconnection via e-mail. Once your account is disconnected, you can request a withdrawal.

MetaTrader 4, MetaTrader 5 and cTrader trading platforms are primarily intended to be used by active traders for opening, management, and closing of their trading positions. You can also use the platforms to find information about trading instruments, generate reports from the trading history and create automated trading systems (ie. AOS, ATS, EA).

A designation for speculators who speculate on a market decline.

Absolutely, there is no limit for strategy connections. With each connection, a new trading account is created so that you can comfortably monitor the results of each strategy’s trading in PurpleZone. We always inform you about each step via email.

Yes, all profits generated by trading on a financial market must be added to a tax declaration. For further information, please consult a tax consultant.

The minimum amount required to connect to the ETF.

Min deposit is 20 EUR.

STP account has no commission charged per trade, but there is a higher spread compared to the ECN account.
The spreads are lower for the ECN account - from 0.1 pip + fixed commission 10 USD / 1 round-turned-lot / trade. For lower trading volume, the commission is charged proportionately, e.g. 1 USD/0.1 lot/trade.

The first trading account that is automatically opened to a client is in ECN account type.
Commission and spread may be lower within our Trader Status loyalty program.

Bidding price on the market for which the selling positions are executed and buying positions are closed. It is lower than ASK price and the chart displayed in MT4 is based on this price.
 

Absolutely, there is no limit for portfolio connections. With each connection, a new trading account is created so that you can comfortably monitor the results of each portfolio’s trading in PurpleZone. We always inform you about each step via email.

Demo account automatically expires after 90 days of inactivity after the last login (i.e. if you do not log into your demo account for 90 days, it expires). It is automatically deleted afterward and cannot be restored. This applies to all trading platforms.

Logging into your demo account at least once a month will help you to avoid its expiration. Remember that you can always create a new demo account and that the quantity of demo accounts per client is unlimited.

Every strategy has individually-set conditions based on an agreement with its provider. Conditions and related fees for each strategy may be found in PurpleZone. We may (but do not have to) charge one of these following types of fees: 

• Performance fee = a monthly fee calculated from the profit at the end of business hours on the last day of the calendar month directly from the item “equity,” so that even opened positions are taken into account. In case the investor’s account is in loss and then in profit, the fee is charged after the loss on the account is restored. 
• Management fee = investor’s share of the balance that is credited to the strategy provider each month. The percentage is given for one calendar year, therefore 1/12th of this fee is charged every month.
• Front fee (deposit fee) = a fixed percentage of every deposit an investor makes is credited to the strategy provider’s account

Anti Money Laundering policy.

Purple Trading cannot provide investment advice service, therefore we are not allowed to provide you with any recommendation. The decision must be yours entirely. However, this doesn’t prevent us from being as transparent as possible. That’s why we try to provide as much information about strategies as possible. Strategies may be filtered out by their risk, trading style, CapitalGuard, or their name. Each strategy shows a graph, a list of trades, history of the strategy and the related fees. 

Purple Trading cannot provide investment advice service, therefore we are not allowed to provide you with any recommendation. The decision must be yours entirely. However, this doesn’t prevent us from being as transparent as possible. That’s why we try to provide as much information about ETFs as possible. Portfolios can be filtered out by their risk, trading style, or their name.  Each portfolio shows a graph, a list of trades, history of the portfolio and the related fees. 

Due to our regulation we can only accept client registration from EEA countries (European Economic Area) - Austria, Bulgaria, Croatia, Republic of Cyprus, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Ireland, Italy, Latvia, Lithuania, Luxembourg, Malta, Netherlands, Poland, Portugal, Romania, Slovakia, Slovenia, Spain, Sweden, Iceland, Liechtenstein and Norway.

Unfortunately, we can NOT accept residents outside the European Union.

BOC is the central bank of Canada.

Every Portfolio has set conditions. Conditions and related fees for each ETF portfolio can be found in PurpleZone. We may (but do not have to) charge one of these following types of fees:

Management fee = investor’s share of the equity that is credited to the company each month. The percentage is given for one calendar year, therefore 1/12th of this fee is charged every month. 

Each investment strategy has a risk profile - high, medium, and low. Each client is also given a risk profile based on his investment profile. In case the risk profile of the strategy is higher than the risk profile of the client, we cannot allow the client to connect to it, as it is too risky for them. 

Gain shows the performace over the past period.

For example:

• Average profit p.a. (per annum) - the profit of a strategy over the last year
• Average profit p.m. - last month
• Average profit YTD (year to date) - year to date

BOE is the central bank of the United Kingdom.

Each investment portfolio has a risk profile - high, medium, and low. Each client is also given a risk profile based on his investment profile. In case the risk profile of the portfolio is higher than the risk profile of the client, we cannot allow the client to connect to it, as it is too risky for them. 

BOJ is the central bank of Japan.

A broker is an intermediary between the forex market and a client. The broker's clients are retail or professional traders.

Gain shows the ETF's performace over the past period.

For example:

• Average profit p.a. (per annum) - the profit of a ETF over the last year
• Average profit p.m. - last month
• Average profit YTD (year to date) - year to date

It's a designation for a rising market.

A fixed percentage of every deposit an investor makes when investing in an ETF / strategy is credited to the ETF provider’s / strategy provider's account.

A designation for speculators who speculate on market growth.

A buy is an order to buy a given instrument, which is used when speculating on a rising price.

A waiting order which enables buy/sell orders to be executed once the price is higher/lower than actual available market price. After activation, it is executed as a MARKET type order.

A pending order which enables buy/sell orders to be executed once the price is higher/lower than actual available market price. After activation, it is executed as a MARKET type order.

Cable is a slang term for the British pound. It is sometimes used to refer to the GBP/USD currency pair.

CAD stands for Canadian dollar.

A graphical representation of the movement of the price change within the selected time frame. For example, a single candle on a daily time frame represents the price movement for one day. One candlestick on an hourly time frame represents the price movement over one hour. One candlestick shows open, close, high and low price within given time frame.

Candlestick patterns consist of one or more candles. Most candlestick formations consist of a maximum of five candles. They are used for short-term predictions of price movements or serve as confirmation for trade entry.

It is a trading strategy that exploits the differences between interest rates for different currencies. A trader can receive a return if he buys a higher interest-bearing currency and sells a lower interest-bearing currency and holds the currency pair overnight.

A central bank is an independent institution that has the primary responsibility for a country's monetary policy. Other responsibilities of the central bank include the implementation of specific objectives such as reasonable inflation, currency stability and full employment. In addition, central banks act as supervisory authorities and monitor the activities of commercial banks in a country, issue regulatory orders, circulate money and act as the bank of the government of a country. Central banks play an important role in the forex market because they influence the exchange rate of the domestic currency through their policies. They often have a target exchange rate that the bank tries to maintain, for example, through market intervention or changes in interest rates.

It is a trading instrument; its value is derived from its underlying instrument, which can be for example a stock index or a future contract. Settlement of this instrument type is always performed financially, therefore the client speculates on future value difference of the underlying instrument while he/she does not become the owner of it.

 

The closing price is the fixed price of the instrument. It is the last price that was traded in a given period. The closing price can therefore be daily, weekly or for example hourly etc. depending on the period chosen.

Commissions are the fees that the trader pays to the broker for arranging the trade. Some brokers do not charge commissions because their costs are covered in the spread. Brokers that do charge commissions, on the other hand, usually have very low spreads.

These include the Canadian dollar (CAD), Australian dollar (AUD), New Zealand dollar (NZD). The value of these currencies is influenced by the value of the commodities that the countries produce. For example, CAD is influenced by the price of oil, AUD by the price of gold, iron ore and coal, and NZD by the price of dairy production.

A consolidation is a movement of the price of an instrument within a narrow range that takes place over a period of time and is preceded by an upward or downward trend movement. Consolidation is also called a sideways trend or chop.

They are either price or candlestick patterns and they signal the continuation of an existing trend. These formations often occur when the main trend has slowed or formed a short-term pullback, i.e. the price has pulled back a bit. It should be said that formations are considered continuous if they follow the previous trend. Continuous price formations include flag, pennant, triangle and rectangle.

Each standard lot in forex market is 100 000 contract of the base currency. The size of one minilot is 10 000 contract and the size of one microlot is 1 000.

Convergence means approaching of the current spot price of an asset with the price of futures contracts. When the futures contract is settled, the prices are equalised.

The COT report is a public report that shows positions in the futures and options markets. It is published every Friday and shows the status as of Tuesday of that week. The report is published by the CFTC - Commodity Futures Trading Commission.

The counterparty is the person with whom the trade is entered into. A person is a legal or a physical person.

Cross currency pairs do not contain USD. It is for example EURJPY, AUDCAD etc.

Currencies are traded on Forex via so-called currency pairs. Each currency pair consists of two currencies.

It is a symbol with three letters that denote a specific currency. For example, CAD is the symbol for the Canadian dollar.

It is the trader who uses intraday trading as a trading strategy.

It is a strategy where a trader enters a trade on one day and exits the trade on the same day.

A falling triangle is a price formation where the upper line is falling and the lower line is horizontal.

The weakening of a currency through activities that are usually carried out by the central bank.

A distribution is a price formation that occurs at higher trend levels. It is an area where the market moves sideways and active selling occurs. The opposite of distribution is accumulation.

It is a situation in technical analysis where the price moves in one direction while the indicator moves in the opposite direction.

A doji is a candle that is characterized by the opening and closing price being at or near the same level. In a chart it looks like a cross, an inverted cross or a plus sign. This candle indicates that there could be a change in movement.

DOM stands for Depth of Market. It shows a list of open buy and sell orders that are on a given instrument at any given time. It shows how many orders at what price are currently available.

It's a designation for a moderate central bank policy. The term is used in the context of lowering interest rates and encouraging economic growth in the economy.

The down tick is the new price of an instrument that is lower than the previous price.

The price of an instrument forms a lower high and a lower low over time. It is the basic formation of price action.

We refer to a drawdown as a decline from the highest value achieved in a particular managed client account.

The formula for calculating the drawdown:
Drawdown = (1 - (Equity / High Water Mark)) * 100

In case the investor believes that the strategy is no longer suitable for him/her, he/she can disconnect from the strategy. At Purple Trading, we understand that sufficient information is required to make such a decision. Therefore, if the loss in your managed client account exceeds 70% and/or 90% of the CapitalGuard value listed for each strategy in the PurpleZone, we will automatically send you a notification to your registered email.

If you are interested in your drawdown value beyond the above-mentioned notifications, please contact us and we will be happy to provide you with the current drawdown value.

For a better understanding, you can see an example of how CapitalGuard works.

An automated trading system.

It is an electronic network on which currencies are traded. It is used by large banks.

The ECB is the central bank of the European Union and differs from other central banks in that it serves those countries of the European Union that have adopted the euro. ECB decisions have a big impact on the Euro and since the Euro is the second most traded currency, ECB decisions are also very important.

ECN is the name for a broker that sends client orders directly to an interbank liquidity facility. In this case, the broker is the intermediary for the client.

The European Monetary Union is all the countries of the EU. This means that the central banks of these countries have free movement of capital among themselves and cooperate in the European System of Central Banks.

The European trading session runs from 08:00 - 17:00 (GMT + 2). The main players are the stock exchanges in Frankfurt and London. This is the session when volatility on the markets is at its highest, often peaking between 09:00 and 11:00 (GMT + 2).

Time between order submitting on the trader’s side and its filling in the market. It is expressed in milliseconds.

The Fed is the central bank of the United States of America. The Fed's decisions not only have an impact on the US dollar, but often also on other currencies or commodities and stock indices. For this reason, the Fed's decisions are very closely watched by Forex traders.

Fibonacci retracement is a method of technical analysis that is based on the Fibonacci number sequence. The retracement expresses important proportions of this number series.

A mechanism which enables traders to trade larger amounts even with smaller volume of free capital which would otherwise be insufficient for the trade, e.g., when trading 1 lot of currency pair EURUSD with leverage of 1:100, the client has to have at least 1,000 EUR of free capital on his/her trading account. Should the leverage not be used in this scenario, the client would need to have 100,000 USD on his/her trading account to cover the entire traded volume.

 

A flag is an ongoing continuous formation that consists of a relatively narrow price range within which consolidation takes place. This price formation is made up of approximately 20 candles. The bottom of the flag should be no lower than the midpoint of the previous trend. This formation is bounded on the price chart by two parallel lines.

It stands for Federal Open Market Committee. This body determines the Fed's policy.

FOMC meeting minutes are the high-profile minutes of the FOMC meetings, which detail monetary policy decisions, rationale for interest rate changes, the outlook for the US economy, etc. Publication of these minutes is often accompanied by high volatility.

Forex is a global market on which currency pairs are traded. The name Forex is derived from Foreign Exchange. The Forex market is the largest and therefore one of the most liquid markets in the world.

Forward markets are used to trade forwards, which are futures contracts that are primarily used to hedge risk, i.e. to hedge against an undesirable movement in the price of an instrument in the future. Forward markets are decentralised over-the-counter markets.

In fundamental analysis, the forex market is analyzed using macroeconomic data, social or political influences that can affect the demand for a given instrument.

Futures markets trade standardized futures contracts. It is designed for larger capital traders. Futures markets are centralized exchange markets.

Group of countries - United States, Germany, Japan, Italy, Canada, France and the United Kingdom.

G7 plus Russia. However, Russia has currently been suspended from membership in response to the annexation of Crimea and the attack on Ukraine.

A difference between the closing price of the previous and the opening price of the current candlestick.

GDP is the sum of all goods produced and services provided in a country.

GMT stands for Greenwich Mean Time. It is the most commonly used time zone in Forex.

A hawk is the name given to a central banker who advocates a hawkish policy.

It is a central bank policy that is aimed at tightening conditions in the economy often to reduce inflation. This term is used in the context of raising interest rates.

The head of the shoulder is a price formation that signals a change in trend direction. It is made up of one higher peak and two lower peaks.

A trading technique which consists of opening positions on the same instrument in opposite directions in order to lower or annulate required margin (“position netting” occurs) and to ensure present market exposition. For example, if a trading position of 1 lot BUY is open on EURUSD, then after opening a 1 lot SELL on EURUSD an annulation of required margin occurs and profit from these open positions will be fluctuating only in terms of  spread changes on EURUSD.

A form of price display in a chart. Prices that follow one another are smoothed by averages, so it smooths out irrelevant changes in the trend.

The hidden divergence is the relation between the price of the instrument and the indicator. There is a bullish and a bearish hidden divergence. A bullish one occurs when the price makes a low and then a higher low and at the same time the indicator makes a low and a lower low. A bearish one occurs when the price forms a high and then a lower high and at the same time the indicator forms a high and then a higher high.

A situation in the economy where prices are rising, reducing the purchasing power of consumers. It is a very important indicator for central banks. If inflation is low, it can be a signal to lower interest rates. If inflation is high, the central bank is likely to raise the interest rate.

A fundamental analysis indicator that gives information on the number of properties sold. If the number of properties sold is rising, this can put pressure on the currency to strengthen, otherwise the currency can weaken.
 

Initial margin is the amount required to open a trade.

The most important indicator for fundamental analysis. Interest rates are set by central banks. A decrease in the interest rate can mean a weakening of the domestic currency and conversely an increase in the interest rate can lead to a strengthening of the currency.

Interest differential is the difference between the interest rates of two different currencies. A positive interest differential is created when the lower interest rate of one currency is subtracted from the higher interest rate of the other currency.

Kiwi is a nickname for the New Zealand dollar or the currency pair NZDUSD.

A limit order is a pending order. The order will be executed only if the price reaches the price level that is set in the order.

A line or line chart is a simple form of graphical representation of price movement. It connects the price of an instrument for different time periods.

Broker’s ability to fill client’s order in the market at the desired value and in the desired volume.

A long position (long speculation) is a trade that a trader enters when he expects the market to rise. Thus, the trader will buy the asset in question (BUY). The position will appreciate in value when the price of the instrument rises.

Nickname for the Canadian dollar or USDCAD currency pair.

The basic unit of traded volume. For currency pairs, it is 100,000 units of the base currency. Lot size varies between individual CFD-type instruments as it is based on the number of contracts set for each one.

 

MACD is a technical analysis indicator. MACD stands for moving average convergence divergence. It belongs to the group of indicators that show the trend. MACD expresses the relationship between two exponential moving averages, which are often averages with a period of 12 and 26. In addition, it is formed by a signal line, which is determined by an exponential average with a period of 9. The periods can be individually set.

A type of trading order which is executed at the best price available at the moment of its submission. A slippage can occur during execution of this order type.

 

It is the free capital which client has to have available on his/her trading account in order to be allowed to open a specific trading position. The volume of the required margin for currency pairs is related to the financial leverage. For CFD instruments the margin requirements are implemented directly and they are not related to the leverage. 

A notification informing the client that the Equity on his/her trading account has decreased to a value of the required margin. Afterwards, the client is not allowed to open any additional trading positions which would increase his/her trade exposition. It is then necessary to close some of the open trading positions or add funds to the trading account in order to increase the free margin and free the funds.

 

It is the designation for a broker that makes the market for íts clients. Such broker is often the counterparty to its clients. Purple Trading is not a market maker broker.

It is a market order where immediate execution occurs at the best market price available at that time. Depending on market conditions, there may be a slippage in execution or requote.

A micro-lot is a trading unit derived from the standard trading unit, which in the Forex world is the lot. While 1 lot represents a transaction of 100,000 units of the currency mentioned first in a currency pair, the value of 1 micro lot is 1,000 units.

If you are interested in the relationship between lots, micro-lots, leverage, and margin, we recommend reading the article about micro-lots we wrote on the subject.

A micro lot is 0.01 lot.

A mini lot is a volume of 0.1 lot.

It is a technical analysis indicator that measures the degree of change in the price of an instrument over a set period.

Money management is a set of rules by which a trader manages the size of a position with respect to the size of the specified risk in order to maximize the growth of the trading account.

Morning star is a bullish candle formation that consists of three candles.

A moving average is a technical analysis indicator that shows a trend by averaging the prices of a given instrument over a period of time. Simple and exponential moving averages are most commonly used.

Financial institution which provides liquidity to the brokerage company.

A very important indicator of fundamental analysis. It is an indicator that is published in the USA. The indicator shows the change in the number of employees compared to the previous month in the economy excluding agriculture. Job creation is a leading indicator for consumption. An increase in jobs in the US can mean an appreciation of the USD, a decrease in jobs a decline in the USD.

Non Dealing Desk broker is an ECN or STP broker. They transmit their clients' orders directly to liquidity providers or to the interbank market. Purple trading is an STP broker.

An open order is a pending order at a certain price level with a certain volume. Once the price of the instrument reaches the price set in the pending order, the pending order is executed and the position is opened.

An open position is a transaction that has been opened and can make a profit or a loss depending on the price movement of the instrument. An open position ends by its closing.

Instructions to execute the transaction.

An order book is a book of pending orders. The order book combines the volumes and prices of buy and sell orders for a given instrument.

OTC stands for Over-the -counter market. They are decentralized markets, meaning they are not stock exchange markets. There is no oversight authority in the OTC market. OTC markets are typical by having a different price for the same instrument in different OTC markets at the same time. Forex is an example of an OTC market, and practically it means that each broker has a slightly different pricing for each instrument.

A pennant is a continuous price formation that forms after a previous strong trending movement. A price pennant formation on a price chart is formed by two converging lines. It is made up of approximately 10-20 candlesticks. On the chart, this formation resembles a pennant on a flagpole.

The price expression of currency pairs based on the one-before-last decimal of the quoted price. If the price of EURUSD currency pair changes from 1.17455 to 1.17465 then the price changes by one pip. The same way, if the USDJPY price changes from 110.124 to 110.114 a change by one pip occurs.

The value of a pip is the price that corresponds to the movement of one pip in forex. The value of a pip depends on the size of the trade and whether the currency pair traded contains the currency of the account. The value of a pip is essential for a trader to know how much of the account to risk on a particular stop loss.

A pipette is a quote for a currency pair at the 5 or 3 decimal place.

Pivots are a technical analysis tool that helps determine support and resistance levels at which price movement may reverse or stop.

The price expression of currency pairs based on the last decimal of the quoted price. If the price of EURUSD currency pair changes from 1.17455 to 1.17456 then the price changes for one point. The same way, if the USDJPY price changes from 110.124 to 110.123 a change of one point occurs.

Price action is a method of technical analysis that is based on observing a price chart without any indicators. It uses candle and price formations, market structure, horizontal supports and resistances and possibly trend lines.

They are formed by many candles and take longer time to form.

Pullback is a term for a temporary price movement that makes a certain backward movement within a trend, so that the price returns or at least approaches some previous level before heading back in the direction of the original trend. A pullback is also sometimes referred to as a return to a broken support which, once broken, has become a resistance.

The Purchasing Managers Index (PMI) is an index of purchasing managers that indicates managers' expectations of whether the sector is due for expansion or contraction. If the index is above 50, it indicates expansion. A value lower than 50 indicates a sector contraction. The PMI is tracked for the manufacturing sector and for the service sector.

Quantitative easing is a central bank monetary policy that seeks to stimulate economic growth. It does this through the purchase of financial assets such as government or possibly corporate bonds etc. By doing so, the central bank tries to push interest rates to lower levels and increases the supply of money in the economic system. It is used when inflation is low or negative and other monetary policy tools are not effective. The opposite of quantitative easing is quantitative tightening.

Quantitative tightening is a central bank monetary policy that seeks to slow down an overheated economy and prevent runaway price growth and high inflation. In the case of quantitative tightening, the central bank sells the financial assets it holds on its balance sheet, thereby lowering their price and raising interest rates. This reduces the availability of credit and puts downward pressure on demand, which would cause prices to fall.

It is the second currency in the currency pair. For example, in the EURJPY pair, the quote currency is JPY.

A rally is a continuous increase in the price of an instrument. It typically occurs after a period of decline or sideways movement (consolidation).

Reserve Bank of Australia. This is the Reserve Bank of Australia.

Reserve Bank of New Zealand. It is the central bank of New Zealand.

Realized gain or loss is the term used to refer to the outcome of a trade after an open trade has been closed.

A rectangle is a continuous price pattern. After a previous strong trend, a pattern sometimes forms where the market moves sideways for a period of time and forms a rectangle formation. Thus, the formation consists of two parallel horizontal lines that form support and resistance. Thus, in order for a rectangle to form, at least two highs are needed at a similar level and at the same time two lows again at a similar level.

Requote is the practice of a broker not allowing a market order to be executed at the current price when the order was placed, but offering a price that is worse for the trader. Purple Trading does not conduct requotes.

Border of “resistance” visible in the chart. It forms in the space where bid (supply) is higher than ask (demand) while the price doesn’t jump over this level and keeps bouncing back down off of it.

Resistance is a price level from which price can bounce downward. Resistances are often horizontal, but they can also be dynamic, which is where moving averages determine resistance. Resistances can also be defined by falling or rising trend lines.

An individual who has an account with a broker.

Reverse formations signal a reversal of the current trend. The current trend will stop after some time, a consolidation will occur and then a new trend will start. A reverse formation that forms at the top of a move is called a distribution, where active selling of the instrument occurs. On the other hand, the formation that forms at the lower levels is accumulation, which is the area where active purchases will occur.

Trading risk means the amount of money you can lose when trading. In the case of an individual trade, we talk about the risk per trade, which is the amount at risk that the trader will lose if the trade goes against him.

Risk management means the implementation of rules to ensure control of the account in the event of adverse events. Examples of these events include a change in interest rates, a change in the exchange rate of a currency pair, a lack of liquidity. Risk management tools include such things as a trading plan, the use of stop losses, setting a maximum amount a trader risks in a trade, etc.

The Risk Reward Ratio (or RRR) compares the size of the amount planned to be risked with the planned gain. The planned amount at risk is determined by the stop loss setting, the planned profit is determined by the take profit setting. For trades that have already been executed, the RRR is often calculated as the ratio of the average risk to the average profit.

Rollover is moving of an open position from one day to the next. It is done automatically and when the rollover is executed, a swap is calculated which is either positive or negative depending on the interest rate difference of the currencies of the currency pair.

Trading strategy type which uses minimal market moves with higher frequency of trades made in order to make a profit.

 

SEC stands for The Securities and Exchange Commission. It is the Securities and Exchange Commission in the USA.

Market sentiment deals with the emotions and psychology of market participants. Market sentiment analysis shows whether traders have a desire to sell or buy.

Short speculation is a trade where the trader anticipates a market decline. So the trader will sell the asset (SELL).

Short positions (short speculation) are those that speculate on a decline in the price of an instrument.

The SMA is a simple moving average and is one of the most common technical analysis tools that help determine the trend.

A slippage in order filling. It expresses the difference between the asked price at trader’s side and the price at which the order is executed in the market (in market execution, it is the best available price in the market at that time). Slippage can have positive as well as negative value.

 

It's a designation for the Swiss National Bank, which is the central bank of Switzerland.

The spot market is a market where instruments are traded on the spot and immediately delivered to the buyer at the current price. An example of a spot market is forex. Spot markets are the basis for forward and futures markets.

Spot price is the current price of an instrument on the spot market. This price is constantly changing.

A spot trade is a transaction executed on the spot market.

Price difference between ASK and BID prices.

Divergence is a mismatch between the price and the indicator. There are two standard divergences. A bullish standard divergence where the price forms a lower low and the indicator forms a higher low. A bearish divergence is where the price forms a higher high and the indicator forms a lower high.

Sterling is the name given to the British pound. Sometimes sterling is also used to refer to the pound sterling.

A stochastic indicator is a technical analysis indicator that belongs to the so-called oscillators. The indicator consists of two curves and indicates situations when the market is so-called overbought or oversold. Its use is appropriate when the market is in a sideways movement. However, in the case of strong upward or downward trends, it often gives false signals.

Stock exchange is an organized, centralized market where financial or possibly real investment instruments are traded. Their activities contribute to market price formation. Note: forex markets, unlike exchanges, are unorganized (decentralized) OTC markets.

A stop order is a pending order. The order will only be executed if the price reaches the level that is set in the order. These orders are typical for breakout strategies. The risk with these orders is slippage.

A protective order which enables closing a losing position on a predefined level. After activation it is executed as a MARKET type order.

A protective order activated when client’s Equity on his/her trading account decreases to half of the required margin. Trading positions are then automatically closed starting from the one with the biggest loss until there is enough free funds to keep the account’s Equity over 50% of the required margin.

The STP broker has one or more liquidity providers that will settle the broker's clients' order.

Border of “support” visible in the chart. It forms in the spaces where ask (demand) is higher than bid (supply) while the price doesn’t fall beneath this level and keeps bouncing back up off of it.

A fee charged for holding a trading position overnight. It is expressed in points or percents and it is directly proportional to the volume of the trading position held. Please note the Swap for Forex pairs and precious metals is being charged 3x on Wednesday, which includes also the weekend swaps. (Swap is charged at Wednesday - Thursday midnight) For other symbols is being charged 3x on Friday. (Swap is charged at Friday - Saturday midnight)

Slang term for the Swiss franc or the USD/CHF currency pair.

A symmetrical triangle is a continuous price formation where the two lines converge symmetrically.

Take profit is an order that can be set for each transaction or order directly in the platform. The trader sets the take profit at a price that the trader believes could be reached in order for the trader to realize a profit. If the take profit is reached, the open transaction will be automatically closed.

An order which enables closing a profitable position on a predefined level. After activation it is executed as a MARKET type order. 

Technical analysis is a form of analysis where the trader examines the price. Charts are used for analysis to show the movement of the price. The assumption is that all the information is already contained in the price.

Thin market is a term for a market in which there is low volume with low liquidity. In a low volume market there are fewer trading opportunities, but at the same time there can be unexpected significant price movements. The low volume in markets can be found for example during the Christmas holiday season.

A throwback is when price returns to the point of broken resistance, which has now become support.

Term for the smallest possible price movement.

It is an indicator of fundamental analysis that ascertains the proportion between an economy's exports and imports. If exports are higher than imports, it means that there is a demand for the goods, services or financial capital of the country and hence there is a pressure to appreciate the currency of the economy. Otherwise, when exports are lower than imports, there is less demand for the country's products and therefore less demand for the currency, which may therefore tend to depreciate.

Trade size (position) is the number of contracts of a given instrument traded when a position is opened. In forex, position size is measured by the number of lots.

Trading is an activity aimed at the appreciation of funds through short-term trading. Instruments are held for a short period of time, in some cases a few minutes. Depending on the length of time an instrument is held, trading is divided into position trading (positions are held for several months), swing trading (trades are held for several days to weeks), intraday trading (trades are opened and closed within a day) and scalping (trades are held for several minutes).

A trailing stop is a form of stop loss order where the price level at which the stop loss order is set moves in the direction of the price movement in the event of a favourable price movement. In this case, as the stop loss moves, the amount at risk per trade is automatically reduced. If the price of the instrument reaches the price set in the stop loss, the transaction will be closed.

The date of the transaction indicates when the trade was opened or closed.

The triangle formation is a continuous formation and is very similar to the pennant formation because it is formed by two converging lines. The difference is that a triangle formation can form for longer time, while a pennant formation forms 10-20 candlesticks. The triangle formation gradually forms higher lows and lower highs, so the upper line of the triangle gradually falls while the lower line of the triangle gradually rises.

A trend line is a technical analysis tool. It is a straight line formed by connecting at least two points on the price of an instrument. It can be downward or upward. It is used to determine the trend or supports and resistances within the trend.

UK Oil is the designation for British crude oil, which is also referred to as Brent crude.

Fundamental analysis indicator. High unemployment may indicate that the economy needs support, for example, by lowering interest rates, which may lead to a weakening of the currency. Low unemployment, on the other hand, may signal a strong economy and therefore pressure to strengthen the domestic currency.

An uptick is a new price for an instrument that is higher than the previous price.

The US 30 is the Dow Jones US stock index, which includes 30 US companies.

US Oil is the designation for US crude oil, which is also referred to as WTI crude oil.

The VIX index measures volatility on the SP 500 index. This index is also sometimes called the fear indicator because it indicates current nervousness in the markets. If the SP 500 stock index falls, the VIX index usually increases in value. If the market is rising, the VIX is falling.

Volatility indicates the volatility of the price of the asset. It shows how much and how often the price changes. High volatility increases risk and low volatility decreases risk.

The volume profile shows the volume of trades traded at the given price levels. It is often displayed using a histogram. An alternative to the traded volume is the number of ticks that have occurred at a given price level for a given time period.