Sell Limit order

An order to execute a transaction only at a specified price (the limit) or higher.

Selling short

A situation where a currency has been sold with the intent of buying back the position at a lower price to make a profit.

Settlement

The actual delivery of currencies made on the maturity date of a trade.

Short Position

The situation when a currency sale has occurred and has to be covered with the respective buy.

Short squeeze

The pressure on short sellers to cover their positions as a result of sharp price increases.

Slippage

It's the experience of not getting filled at (or even very close to�) your expected price when you place a market order or stop loss. This can happen because either: market price is simply moving too fast, the market is not liquid or you're talking to an unmotivated broker.

Spot market

Market where people buy and sell actual financial instruments (currencies) for two-day delivery.

Spot price

The current market price of a currency that normally settles in 2 business days (1 day for Dollar/Canada).

Spot/Next or S/N roll

The process of moving the spot settlement value date on an open position forward to the next valid value date. This process will affect the profit or loss on the overnight position. The forward points reflect the difference in interest rates between the currencies being rolled over.

Spread

The point difference between the bid and ask price.

Sterling

Another term for the British currency, "The Pound".

Stop Loss order

Order to buy or sell when a given price is reached or passed to liquidate part or all of an existing position.

Stop order

An order to buy or to sell a currency when the currency's price reaches or passes a specified level.

Stop-loss

A client�s order to close an open position after a price reaches a certain level. It is used to minimize losses.

Support level

A price at which a currency or the currency market will receive considerable buying pressure.

Swap (Storage)

The payment for transferring an open position overnight. May be both positive and negative. The night from Wednesday to Thursday triples the payment.

SWIFT (Society for Worldwide Interbank Financial Telecommunications)

A computer network which is used to send instruction and payment statements.