Glossary
Plain-language meanings of the words on a research call, in the Learn lessons on trading and risk, in SEBI’s rules for Research Analysts, and in sign-up. 60 terms, each with the lessons that use it.
V
- @valid UPI IDRegulation and checks
- The kind of UPI ID SEBI-registered intermediaries use to collect payments from investors. It ends in "@valid" followed by the bank's name, and SEBI Check shows which registered entity it belongs to.
- Used inPaying safely: @valid UPI IDs and SEBI Check
- Valid untilReading a research call
- The entry window. If the entry has not triggered by the time shown, the call lapses and should not be entered unless the analyst updates it.
- Used inHow a research call is closed and scoredEntry zone, fill and late entries
A
- Accredited investorSigning up
- An investor who has been formally accredited under SEBI rules because of their income or net worth. Most retail investors are not accredited.
B
- Breakage feeSigning up
- A charge some services add when you end a plan early. It is also called an exit fee.
- Used inHow to verify a SEBI Research Analyst
C
- CancelledReading a research call
- Withdrawn before entry: never filled, never traded and not counted in results. “Stop-loss hit” is different: that call was entered and exited at the stop.
- Used inHow a research call is closed and scoredEntry zone, fill and late entriesAlerts: the website, your device and Telegram
- CandleReading a research call
- One bar on the chart, covering one period of the call’s timeframe. On a daily chart one candle is one trading day; on a 15-minute chart it is 15 minutes.
- Used inStop-loss: intraday basis, closing basis, slippage and gaps
- CeFCoMCentralised Fee Collection MechanismSigning up
- An optional way to pay research analysts' fees, managed by BSE Limited. SEBI encourages clients to use it.
- Used inHow to verify a SEBI Research Analyst
- Closing priceTrading and risk
- The official price a security or contract ends the day at, as the exchange calculates it. It is worked out from trading in the final part of the session, so it can differ from the last traded price.
- Used inStop-loss: intraday basis, closing basis, slippage and gaps
- Contract valueTrading and risk
- The full value of a futures or options position: the price times the lot size, and times the multiplier where a contract has one. Profit and loss follow the contract value, not the margin.
- Used inBefore you trade futures and options
D
- DigiLockerSigning up
- The Government of India's digital document wallet. You can use it to share your identity documents for KYC without uploading scans.
- DrawdownTrading and risk
- The fall in your trading capital from its highest value to a later low, as a percentage. Getting back needs a larger rise than the fall: a 50% drawdown needs a 100% rise.
- Used inLosing streaks, drawdowns and total open risk
E
- Entry zoneReading a research call
- The price range in which the call may be entered. If the price has already moved past the zone, the call does not ask you to chase it.
- Used inHow a research call is closed and scoredEntry zone, fill and late entriesKeeping a trading journal, and reviewing it
- eSignSigning up
- A way to sign a document online with a one-time code (OTP) sent to your Aadhaar-linked mobile. No paper or printing is needed.
- ExpiryTrading and risk
- The day a futures or options contract ends. After it the contract no longer trades, and it is settled in cash or by delivery, as its specification says.
- Used inOptions basics: premium, strike, expiry and time decayBefore you trade futures and optionsMCX commodities: contracts, sessions and expiry
F
- FillReading a research call
- The price at which the call was actually entered, as recorded by the analyst. The call’s results are measured from it. Your own fill may be different.
- Used inHow a research call is closed and scoredEntry zone, fill and late entriesStop-loss: intraday basis, closing basis, slippage and gaps
G
- GapTrading and risk
- A price that opens well away from the previous close, with no trading in between. An exit at a stop-loss inside the gap happens near the open, beyond the stop.
- Used inStop-loss: intraday basis, closing basis, slippage and gaps
H
- HUFHindu Undivided FamilySigning up
- A family that is treated as a separate unit for tax, with its own PAN. Choose Individual if you are subscribing for yourself.
- Used inHow to verify a SEBI Research Analyst
I
- Implied volatilityIVTrading and risk
- How much movement the market expects in the underlying, worked back from option premiums. When it falls, for example once an awaited event has passed, premiums can fall even if the price moves your way.
- Used inOptions basics: premium, strike, expiry and time decay
- Intrinsic valueTrading and risk
- What an option would be worth if it expired now: for a call, how far the underlying is above the strike; for a put, how far below. It is never less than zero.
- Used inOptions basics: premium, strike, expiry and time decay
- InvalidationReading a research call
- The condition that would show the view is wrong. If it happens before entry, the call is void and should not be entered.
- Used inHow a research call is closed and scoredEntry zone, fill and late entries
- Investment AdviserIARegulation and checks
- A person or firm registered with SEBI under a separate set of regulations to give personalised investment advice. A Research Analyst publishes research for its clients but does not advise on your own portfolio unless it also holds this registration.
- Used inHow to verify a SEBI Research Analyst
K
- KRAKYC Registration AgencySigning up
- An agency registered with SEBI that keeps KYC records. If you already did KYC with a broker or mutual fund, your record may already be there.
- KYCKnow Your CustomerSigning up
- A one-time identity check that SEBI requires before a research analyst can take you on as a client. It uses your PAN, date of birth and address.
- Used inHow to verify a SEBI Research AnalystRegistered research vs Telegram tipsPaying safely: @valid UPI IDs and SEBI Check
L
- Lot sizeReading a research call
- Futures, options and MCX contracts trade in lots: a fixed number of units per contract, set by the exchange and changed from time to time. Check the current lot size with your broker.
- Used inPosition sizing and risk per tradeBefore you trade futures and optionsOptions basics: premium, strike, expiry and time decay
M
- MarginTrading and risk
- The money your broker blocks to let you hold a futures position, a sold option or an intraday position. It is a part of the position's value, so a move against you can cost more than the margin.
- Used inBefore you trade futures and optionsIntraday, swing, positional and long-termPosition sizing and risk per trade
- Mark-to-marketMTMTrading and risk
- The daily settlement of a futures position at that day's settlement price: gains are credited to your account and losses debited, every day the position is open.
- Used inMCX commodities: contracts, sessions and expiryIntraday, swing, positional and long-term
- MITCMost Important Terms and ConditionsSigning up
- A short summary of the key terms of your research subscription. SEBI requires every research analyst to give it to clients.
- Used inHow to verify a SEBI Research AnalystRegistered research vs Telegram tipsPaying safely: @valid UPI IDs and SEBI Check
N
- Now / Last priceReading a research call
- The latest price recorded for the call, from a TradingView alert or the analyst. It is not a live exchange quote. “Last” means it was not updated today.
- Learn moreHow to read a research call about Now / Last price
P
- PaRRVAPast Risk and Return Verification AgencyRegulation and checks
- An agency recognised by SEBI to verify the past performance data of Research Analysts and Investment Advisers. SEBI's advertisement rules allow past performance to be advertised only when it has been verified this way.
- Used inRegistered research vs Telegram tipsHow a research call is closed and scored
- Partial bookingTrading and risk
- Closing part of a position, for example half at Target 1, and keeping the rest open. Your result differs from a call's whenever your bookings differ from the ones in its plan.
- Used inBooking part of a position, and trailing stops
- PEPpolitically exposed personSigning up
- Someone who holds or has held a prominent public role, such as a senior politician or senior government official, or their close family or associates. Most people answer No.
- Physical settlementTrading and risk
- Settlement by delivery of the underlying instead of cash. Stock futures, and stock options in the money at expiry, are settled this way, which needs the full value of the shares or the shares themselves.
- Used inOptions basics: premium, strike, expiry and time decay
- Position sizeTrading and risk
- The quantity you trade, in shares, units or lots. Sized on risk, it is the amount you accept losing divided by the loss per unit at the stop-loss, rounded down.
- Used inIntraday, swing, positional and long-termPosition sizing and risk per tradeOptions basics: premium, strike, expiry and time decay
- Pro-rataSigning up
- In proportion. A pro-rata refund pays back the part of your fee that covers the days you have not used.
- Product typeTrading and risk
- How your broker holds a position: intraday (often labelled MIS), closed by the broker before the market closes; delivery (often CNC), paid in full; or carry-forward for F&O and commodities (often NRML), held on margin.
- Used inIntraday, swing, positional and long-term
R
- RReading a research call
- R is the risk taken on the call: the distance from entry to stop-loss. +1R gained as much as was risked; −1R is a full stop-loss; 0.47R is a little under half the risk.
- Learn moreHow to read a research call about R
- R:RReading a research call
- Reward to risk: the distance to a target compared with the distance to the stop-loss. 1:2 means the target is twice as far as the stop. It describes the plan, not the chance of reaching it.
- Used inHow a research call is closed and scoredEntry zone, fill and late entries
- RAASBResearch Analyst Administration and Supervisory BodyRegulation and checks
- The body that administers and supervises Research Analysts on behalf of SEBI. BSE Limited has been recognised as the RAASB, and registered Research Analysts are enlisted with it.
- Used inHow to verify a SEBI Research AnalystRegistered research vs Telegram tips
- Research AnalystRARegulation and checks
- A person or firm registered with SEBI under the SEBI (Research Analysts) Regulations, 2014 to publish research reports and recommendations on securities. Registration is a licence to publish research; it is not a statement about the quality of that research.
- Used inHow to verify a SEBI Research AnalystRegistered research vs Telegram tipsHow a research call is closed and scored
- Risk per tradeTrading and risk
- The part of your trading capital you accept losing on one trade if its stop-loss is hit, often set as a percentage of capital, such as 1%.
- Used inPosition sizing and risk per tradeIntraday, swing, positional and long-termLosing streaks, drawdowns and total open risk
- Risk ratingReading a research call
- Every research call carries a risk rating of Low, Medium or High, shown on its card and in its report. The written definition of each rating is pending the Compliance Officer's sign-off and will appear here once it is given; until then the rating is shown without a definition.
- Learn moreHow to read a research call about Risk rating
- RolloverTrading and risk
- Closing a futures position in a contract that is about to expire and opening the same position in a later month. The two months trade at different prices, and each leg has its own costs.
- Used inMCX commodities: contracts, sessions and expiry
S
- SCORESSEBI Complaints Redress SystemRegulation and checks
- SEBI's online system for complaints against registered intermediaries, at scores.sebi.gov.in. A complaint lodged there is sent to the intermediary, and its reply is tracked.
- Used inHow to verify a SEBI Research AnalystRegistered research vs Telegram tipsPaying safely: @valid UPI IDs and SEBI Check
- SEBI CheckRegulation and checks
- A tool on SEBI's website for checking where a payment would go before you pay a registered intermediary. It shows which registered entity a UPI ID, or a bank account and IFSC, belongs to.
- Used inPaying safely: @valid UPI IDs and SEBI CheckHow to verify a SEBI Research Analyst
- SEBI registration numberRegulation and checks
- The number SEBI gives a registered intermediary. A Research Analyst's number starts with INH followed by nine digits; an Investment Adviser's starts with INA. You can look either up on SEBI's website.
- Used inHow to verify a SEBI Research Analyst
- SlippageTrading and risk
- The difference between the price you planned to trade at, such as a stop-loss, and the price you actually got. It tends to be larger in fast or thinly traded markets.
- Used inStop-loss: intraday basis, closing basis, slippage and gapsHow a research call is closed and scoredEntry zone, fill and late entries
- SMART ODRRegulation and checks
- The securities market's online dispute resolution portal, at smartodr.in. If a complaint is not settled with the intermediary or through SCORES, it can be taken there for conciliation and, if needed, arbitration.
- Used inHow to verify a SEBI Research AnalystRegistered research vs Telegram tipsPaying safely: @valid UPI IDs and SEBI Check
- Standard warningRegulation and checks
- The risk warning SEBI requires, word for word, on a registered intermediary's website and advertisements. Its wording may not be changed or shortened.
- Used inHow to verify a SEBI Research Analyst
- Stop % awayReading a research call
- “Stop 2.8% away” means the stop-loss is 2.8% from the entry price. It is not 2.8% of your capital: what you could lose in rupees depends on your quantity.
- Learn moreHow to read a research call about Stop % away
- Stop basisReading a research call
- The price the stop distance is measured from: the fill once the call is entered, or the middle of the entry zone before that.
- Learn moreHow to read a research call about Stop basis
- Stop-lossReading a research call
- The price at which the call is exited to limit the loss if the trade goes wrong. For a buy it is below the entry; for a sell, above it.
- Used inRegistered research vs Telegram tipsHow a research call is closed and scoredIntraday, swing, positional and long-term
- Strike priceTrading and risk
- The price at which an option lets its buyer buy the underlying (a call option) or sell it (a put option). Options on the same underlying and expiry trade at many strikes, each with its own premium.
- Used inOptions basics: premium, strike, expiry and time decay
T
- Targets (T1, T2, T3)Reading a research call
- The price levels where the call plans to book profit, nearest first. Reaching T1 does not mean T2 will follow.
- Used inHow a research call is closed and scoredEntry zone, fill and late entriesKeeping a trading journal, and reviewing it
- ThetaTrading and risk
- An estimate of how much an option's premium falls in one day if nothing else changes. Time value runs out faster in the final days before expiry.
- Used inOptions basics: premium, strike, expiry and time decay
- Time valueTrading and risk
- The part of an option's premium above its intrinsic value: what the buyer pays for the chance of a further move before expiry. It falls to zero at expiry.
- Used inOptions basics: premium, strike, expiry and time decay
- TimeframeReading a research call
- The chart the setup is read on: 15m, 1H, 1D or 1W. It is the unit for counting candles and a rough guide to how long the call may run.
- Used inHow a research call is closed and scoredIntraday, swing, positional and long-termStop-loss: intraday basis, closing basis, slippage and gaps
- Total open riskTrading and risk
- What you would lose if every open position reached its stop-loss at once. Related positions can reach their stops together, so the total matters as well as the risk on each trade.
- Used inLosing streaks, drawdowns and total open riskPosition sizing and risk per tradeTrading psychology: common mistakes, and rules for each
- Trailing stopReading a research call
- A stop-loss moved in the trade’s favour after it has progressed, for example to the entry price after T1. On a call it moves only when the analyst posts an instruction.
- Used inHow a research call is closed and scored
U
- Unregistered tipsRegulation and checks
- Buy or sell recommendations on securities given by someone who is not registered with SEBI to give them. Recommending securities for a fee without registration is not permitted, whatever the channel.
- Used inRegistered research vs Telegram tips
Regulatory disclosure
Investology (SEBI RA INH000029528) publishes research recommendations under the SEBI (Research Analysts) Regulations, 2014. It does not manage portfolios, provide personalised investment advice, execute trades, or guarantee returns. KYC is mandatory before accessing any research service.
Investment in securities market are subject to market risks. Read all the related documents carefully before investing.
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