Crypto Trading Glossary — 30 Terms Every Trader Should Know

Signal terms

Entry: The price at which the trade is opened. Signava re-checks the live price right before sending a signal.
Stop loss (SL): The price at which the trade is closed at a small, planned loss because the idea turned out wrong.
Take profit (TP): A price at which you sell to lock in gains. Signava gives three: TP1, TP2 and TP3.
R / R-multiple: Profit or loss measured in units of your risk. If you risk $20, a +2R trade makes $40 and a −1R trade loses $20.
Risk-to-reward: How far the target is compared with the stop. A 1:2 trade risks 1 to make 2.
Long: A trade that profits when the price rises.
Short: A trade that profits when the price falls. Only possible on futures or margin.
Break-even stop: Moving the stop loss to the entry price once the trade is in profit, so it can no longer turn into a loss.

Candle (candlestick): One bar on a chart showing the open, high, low and close for a period — for example one hour. Signava only acts on closed candles.
Breakout: Price moving above a level it couldn't get through before, such as a recent high.
Retest: Price coming back to a level it just broke, and holding. Breakout-and-retest setups wait for this confirmation.
Range: A period where price moves sideways between a ceiling and a floor.
Volatility squeeze: A quiet, tight period that often ends in a sharp move. Signava's squeeze setup waits for the expansion with strong volume.
Support and resistance: Price areas where buying (support) or selling (resistance) has repeatedly stepped in.
ATR (Average True Range): A measure of how much a coin typically moves in one candle. Used to set stops that fit the coin's normal swings.
Moving average (MA / EMA): The average price over a number of candles, used to judge trend. Signava's Bitcoin filter uses the 50-day average.
RSI: Relative Strength Index — a 0–100 gauge of how stretched recent moves are.
Volume: How much was traded. Moves on high volume are more likely to be real.
Wick: The thin line above or below a candle's body, showing prices that were reached but rejected.

Perpetual futures: Futures contracts with no expiry date, kept close to the spot price by funding payments.
Leverage: Borrowed exposure. 10x leverage means a 1% move changes your margin by 10%.
Margin: The collateral you put up to open a leveraged position.
Liquidation: The exchange closing your position because your margin can no longer cover the loss. Keep it far beyond your stop.
Funding rate: Periodic payments between longs and shorts on perpetual futures. Positive funding means longs pay shorts.
Open interest (OI): The total value of futures positions currently open. Rising OI with rising price means new money is entering.
Long/short ratio: How many accounts are long versus short. Extreme readings can mean a crowded trade.
Liquidation zone: A price area where many leveraged positions would be liquidated — price is often drawn toward them.
Fear & Greed index: A 0–100 gauge of market mood. Extreme fear and extreme greed often come near turning points.

Market order: Buy or sell immediately at the best available price. Fast, but you pay the spread.
Limit order: Buy or sell only at your price or better. Best for entering at a signal's entry.
Stop-limit order: An order that becomes active when price reaches a trigger — used for stop losses on spot.
OCO (one-cancels-the-other): A pair of orders — usually a take profit and a stop loss — where filling one cancels the other.