| Gann Analysis | |
| Market analysis based on a variety of technical concepts developed by William Gann, a famous stock and commodity trader during the first half of the twentieth century. Many software packages such as Sharescope will draw Gann Angles on a chart. | |
| Gap | |
| In times of high volatility (for example following a profit warning), a stock may jump - or 'gap' - to a certain level, without actually trading at a price in between. Also known as 'slippage'. For example, IBM closes at 106, a negative announcement is made then the next morning the price opens at 100, the price has gaped lower. | |
| Gap down | |
| When a share's price opens much lower than its previous closing price when the market opens it is said to have Gapped Down. | |
| Gap up | |
| When a share's price opens much higher than its previous closing price when the market opens it is said to have Gapped Up. | |
| Gaps through | |
| Where the price of a certain security or market skips over the level you specified on a trade. A market either gaps up or gaps down. In a sell order, for example, if a market gaps down and does not hit your sell price, then your order to sell may not be activated. | |
| Gearing/leverage | |
| Refers to debt. Shows how heavily indebted a company is. A company's gearing ratio is its proportion of assets funded from borrowing relative to that funded by shareholders. A company with high gearing has a high level of debt in proportion to fund available from shareholders. In spreadbetting, gearing or leverage is defined as the ability to make large profits (or losses!) from a small initial outlay. So in this respect gearing or leverage refers to the degree of extra exposure that a spread bet can give to an underlying asset. Spread bets provide this gearing by only requiring investors to commit a fraction of the price that it would cost to purchase the underlying asset directly. Clients gear up because they only pay a margin of the total cost of their trade and the rest is effectively borrowed from the spreadbetting company. But this gearing effect also means that losses are amplified - unless you set a stop-loss. |
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| GFD | |
| "Good for the day" - An order valid for the day of placement only. In other words a term signifying that an order can only be filled on the day it is lodged and will expire at the close of business. | |
| Gilts | |
| An abbreviation for gilt-edged. Government bonds or loan stocks. Stock issued by the Government on which there is little risk of default and an annual fixed rate of return. One of the safest forms of investment and hence the name gilt-edged. | |
| Goal minutes | |
| Sports spread betting. The collected times of the goals scored by an individual player in a match. So if Ronaldo scored in the 10th and 32nd minutes of a match, his make-up is 42. | |
| Good For The Day (GFD) | |
| An order, which if not filled, expires at the close of business on the day it is placed. | |
| Good Till Cancelled (GTC) | |
| An order that will be carried forward indefinitely until it is either filled or cancelled. | |
| Grey Markets | |
| Trading in new shares before they are actually issued. Betting on a the value of a share before public trading begins is known as trading on the grey market. Not all financial bookmakers will accept grey market bets. | |
| Gross | |
| Interest paid without deduction of tax. | |
| Growth Companies | |
| As the name suggests a firm that is expected to grow earnings quickly.. | |
| Growth Stocks | |
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With growth stocks investors are looking for an upward movement in the share price rather than a high dividend yield. Growth companies are usually those in expanding market sectors. In addition, they will benefit from good management, have higher than average profits, and be at a stage where they want to plough profits back to expand the company further. You can therefore expect that the dividend yield will be lower and the price/earnings ratio will be higher. Growth stocks are ideal for financial betting because they hold the potential to rise in prise dramatically or - alternatively - crash in price spectacularly if the anticipated growth fails to materialise. So, it is possible to make a great deal of money if you predict all this accurately, or if the financial bookmaker makes a mistake. However, to do this successfully you will need to study the company carefully and follow its progress in detail. |
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| GTC | |
| "good till cancelled" - An order to buy/sell at a certain price; the limit order stays in the market until cancelled. | |
| Guaranteed order | |
| An order that guarantees the trader will receive their chosen stop loss price, regardless of whether it is worse than that level by the time the order is executed in the market, in return for a small premium. In other words an order that limits losses to an amount specified both during and outside office hours | |
| Guaranteed stop-loss | |
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A stop-loss order that is guaranteed to be executed if the price hits that level or, more importantly, if the price gaps through that level. In other words this is a stop loss guaranteed during and outside of market hours taken at the time of opening and for which a charge is levied. Guaranteed stop loss orders work in a similar way to normal stop losses. The difference is that you are guaranteed Stop Losses to sell/buy at the exact price you set. This protects you from market 'gaps' (if your stock (GSL) never trades at the price you set). A non-guaranteed stop-loss is free of charge. As GSLs offer a higher degree of protection, they do attract a small charge in the form of a wider spread. |
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