Test your basic knowledge |

Day Trading

Instructions:
  • Answer 48 questions in 15 minutes.
  • If you are not ready to take this test, you can study here.
  • Match each statement with the correct term.
  • Don't refresh. All questions and answers are randomly picked and ordered every time you load a test.

This is a study tool. The 3 wrong answers for each question are randomly chosen from answers to other questions. So, you might find at times the answers obvious, but you will see it re-enforces your understanding as you take the test each time.
1. Complex financial contracts used to hedge against risks. Credit default swaps - or contracts that allow investors to make bets on the likelihood a company will be unable to pay its debts - are a form of derivatives.






2. Someone who commits capital in order to gain financial returns






3. The more you risk the more you can gain - thus the greater amount of possible loss.






4. Someone who commits capital in order to gain financial returns






5. The Trend is your ________ - those who fight the market lose.






6. Prices reflect historical information






7. A trader who tries to profit from short-term price movements during trading hours in any day - but offsets the initial position before market closing so that no position remains outstanding overnight






8. Chicago Mercantile Exchange






9. Prices include all public info






10. Is the ability to buy or sell in large quantities without changing the price






11. New York Stock Exchange






12. .01






13. Everything including inside information is represented in the price






14. Planning to Fail






15. Planning to Fail






16. The amount of time a Day trader holds his securities.






17. A statistical measure of the dispersion of returns for a given security or market index






18. The more you risk the more you can gain - thus the greater amount of possible loss.






19. Foriegn Exchange - more active in the afternoon






20. .01






21. Wealth in the form of money or property owned by a person or business and human resources of economic value






22. Smallest trading amount






23. A certificate documenting the shareholder's ownership in the corporation






24. A trader who tries to profit from short-term price movements during trading hours in any day - but offsets the initial position before market closing so that no position remains outstanding overnight






25. How long do swing traders hold positions?






26. .0001






27. Prices reflect historical information






28. A statistical measure of the dispersion of returns for a given security or market index






29. .0001






30. Is the ability to buy or sell in large quantities without changing the price






31. A certificate documenting the shareholder's ownership in the corporation






32. The amount of time a Day trader holds his securities.






33. The Trend is your ________ - those who fight the market lose.






34. Everything including inside information is represented in the price






35. Prices include all public info






36. Smallest trading amount






37. The nearly simultaneous purchase and sale of an asset in order to profit from price discrepancies.






38. Wealth in the form of money or property owned by a person or business and human resources of economic value






39. New York Stock Exchange






40. 1/8 of a dollar






41. 1/8 of a dollar






42. Chicago Mercantile Exchange






43. Complex financial contracts used to hedge against risks. Credit default swaps - or contracts that allow investors to make bets on the likelihood a company will be unable to pay its debts - are a form of derivatives.






44. Basic interchangeable goods sold in bulk and used to make other goods - ie gold - oil - or lumber






45. How long do swing traders hold positions?






46. The nearly simultaneous purchase and sale of an asset in order to profit from price discrepancies.






47. Foriegn Exchange - more active in the afternoon






48. Basic interchangeable goods sold in bulk and used to make other goods - ie gold - oil - or lumber