American Style Warrant                                                                                                                    American style means that the warrant can be exercised at any time up to and including the expiry date.

Bear trend                                                                                                                                               When supply of shares outstrips demand and prices start to fall. If this trend continues for a number of weeks, the general sentiment becomes bearish and prices continue to fall.

Bull market                                                                                                                                                  A market where the dominating trend is one of rising prices.

Bull trend                                                                                                                                              When demand for shares outstrips supply and prices start to rise. If this trend continues for a number of weeks, the general sentiment becomes bullish and prices continue to rise.

Call warrant                                                                                                                                                A contract giving the holder the right, but not the obligation, to buy a share for the exercise price at a future date (refer also to American Style and European Style)

Conversion ratio (as used icw warrants)                                                                                         Conversion ratio is the number of warrants that must be exercised in relation to one share or an underlying parcel of shares.

Day trader                                                                                                                                                   A person whose goal it is to make profits from a security in the shortest possible space of time. Open trading positions may span several days or even weeks.

Delta of a warrant                                                                                                                                    The delta of the warrant represents the relative change in the value of the warrant to changes in the value of the underlying share price.

Exercise Price (as used icw warrants)                                                                                                    Fixed price at which a warrant holder may buy (in the case of calls) or sell (in the case of puts) a share.

Expiry date (as used icw warrants)                                                                                                        Expiry date is the last day on which a warrant may be exercised.

European Style Warrant                                                                                                                   European Style means that the warrant may be exercised only on the expiry date.

Fundamental analysis                                                                                                                  Fundamental analysis addresses the question of "what shares to buy". It is concerned primarily with analyzing the future profitability of the company. The fundamental approach examines all the relevant factors affecting the price of a security in order to determine its intrinsic or true value. The intrinsic value is then compared with the market price and rated as being fairly priced, over priced or under priced. This approach is both soundly based and rational.

(WEN Professional, Technical Analysis Software Manual)

Futures                                                                                                                                                        A contract that requires the delivery of a commodity at a specific price on a particular date in the future.

Gearing (as used icw warrants)                                                                                                           Simple gearing is the ratio of the share price to the warrant price. Effective gearing is the simple gearing multiplied by the warrant’s Delta.

Hedge                                                                                                                                                  Taking an investment position in which some investments are designed to offset the risk of others.

Intraday                                                                                                                                                Within a single day.

Intraday trader                                                                                                                                 Someone who trades every day and closes all positions at the end of each day.

Momentum trading                                                                                                                                 Short to moderate-length investments that are made to capitalize on the sudden rise or drop in a stock price that follows certain technical indicators.

Profit taking                                                                                                                                          Action by short-term securities traders to cash in on gains created by a sharp market rise. This results in a temporary drop in market prices.

Put warrant                                                                                                                                                 A contract giving the holder the right, but not the obligation, to sell a share for the exercise price at a future date (Refer also to American Style and European Style)

Speculation                                                                                                                                      Investment of money in hope to gain, but with risk of loss. (Webster Universal Dictionary)

Stop Loss                                                                                                                                 Investopedia.com defines a stop loss as "an order placed with a broker to sell a security when it reaches a certain price. It’s designed to limit an investor’s loss on a security position."

(Standard – Trading Warrants and share Installments 11 article from web)

Technical analysis                                                                                                                           Technical analysis serves to determine "when to buy or when to sell" shares. The technical approach acknowledges that fundamentals are important, but assumes that the known fundamentals have already been discounted and reflects in the current market price of a security. Prices are now reacting to a future time horizon of anticipated changes in all variables that will affect the price and prices will lead the conventional wisdom of the moment. Thus, the technical analyst studies the effect of market movements and is unconcerned with the causes. Technical analysis is concerned with the use of graphs and statistical techniques to study historical price and volume patterns in order to predict the future course of share prices. With technical analysis, timing is the critical success factor.

(WEN Professional, Technical Analysis Software Manual)

Volatility                                                                                                                                                      A measure of the variation in a share price over time.

Warrant                                                                                                                                                       A warrant is financial instrument that will pay out an amount of cash (or underlying) at a specified date in the future if the underlying on which it is based (most often a share or an index) is above (in the case of a call) or below (in the case of a put) a predetermined price (that is known as a strike or exercise price).