> For the complete documentation index, see [llms.txt](https://nexgen-software-services.gitbook.io/nexgen-user-guide-ninja-trader/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://nexgen-software-services.gitbook.io/nexgen-user-guide-ninja-trader/glossary-of-commonly-used-terms.md).

# Glossary of Commonly Used Terms

### **Nexgen's Common Trading Terminology:** <a href="#nexgens-common-trading-terminology" id="nexgens-common-trading-terminology"></a>

#### **Trading Concepts & Risk Management** <a href="#trading-concepts-and-risk-management" id="trading-concepts-and-risk-management"></a>

* **STOP – RISK**: The price or amount of money you will risk on a trade.
* **TICKS – PIPS – POINTS**: The smallest price increment for an instrument. Example: “I made 20 ticks on that trade” or “I lost 8 ticks on that trade.”
* **TARGET PROFIT EXIT**: The price at which you will exit your position with a win.
* **BE (Break Even) – NO RISK – BE+1**: Moving your stop to a no-risk position in a trade.
* **GRACEFUL EXIT**: Exiting a trade when conditions change against your position to avoid a full loss.

***

#### **Fibonacci & Market Structure** <a href="#fibonacci-and-market-structure" id="fibonacci-and-market-structure"></a>

* **Fibonacci Support**: A Blue horizontal line indicates a support area.
* **Fibonacci Resistance**: A Red horizontal line indicates a resistance area.
* **Synthetic Fibs – Triggers – Divergences – Mid Bands**: Indicators from a different chart plotted on the current chart.
* **HVA Support/Resistance (Line)**: Market flow **green** or **magenta** lines derived from white paint bars on the T3 Market Flow chart, defining key support or resistance.
* **Mid Band**: A **green** or **magenta** 55-period moving average line running in the middle of the chart.
* **Support (General)**: Any area that may cause the market to bounce up (e.g., mid-bands, trigger lines, Fibonacci levels).
* **Resistance (General)**: Any area that may cause the market to bounce down (e.g., mid-bands, trigger lines, Fibonacci levels).

***

#### **Trigger Lines & Market Trends** <a href="#trigger-lines-and-market-trends" id="trigger-lines-and-market-trends"></a>

* **Triggers**: T3 Trigger Lines, including small, large, and synthetic triggers.
* **Small Triggers**: The fastest-moving trigger lines (20-period average).
* **Large Triggers**: Medium-fast triggers (38-period average).
* **Synthetic Triggers**: Larger triggers from a higher time frame, visually "stair-stepping" up and down.

**Trigger Line Configurations**

* **Strong Look (#1 Look)**: All triggers are strongly crossed up or down. The small trigger will always be **above** all others in an uptrend and **below** all others in a downtrend.
* **Transition Look**: Small triggers **cross above or below** all other triggers for the first time, signaling the start of a trend.
* **Weakening or Inside Look**: Small triggers move "inside" larger triggers, signaling a possible trend slowdown.
* **Range Bound – Choppy – Chop**: Small triggers are **between** large and synthetic triggers, indicating a market with no clear trend.

***

#### **Key Price Levels & Patterns** <a href="#key-price-levels-and-patterns" id="key-price-levels-and-patterns"></a>

* **Yellow Dots – One-to-Ones**: Fibonacci projection of 100%, marking general support or resistance.
* **Small Swing One-to-Ones**: **Magenta dots**, representing 100% projections from smaller swings plotted by the T3 Fibs ProTrader.
* **Divergence Lines (-#)**: Lines plotting on top or bottom of bars, showing divergence between T3 MACD BB lines and price.
* **Reversal Bar Marker**: The price level at which a new bar in the opposite direction will form.

***

#### **Trading Terms & Execution** <a href="#trading-terms-and-execution" id="trading-terms-and-execution"></a>

* **Bingo**: A term used when a profit target has been reached and filled.
* **Runner**: A **fraction** (usually 25-50%) of contracts left in a trade to capture larger profits, typically in strong trends.
* **Long – Buy – Enter Long**: Entering a position expecting prices to **increase**.
* **Short – Sell**: Entering a position expecting prices to **decrease**.

***

#### **Trade Probability & Management** <a href="#trade-probability-and-management" id="trade-probability-and-management"></a>

* **High-Probability Trade**: All indicators across multiple charts align with trade rules.
* **Medium-Probability Trade**: Most indicators align, but a small issue exists (e.g., a trouble spot ahead).
* **Low-Probability Trade**: The trade setup has multiple conflicting signals, reducing the chance of success.

***

#### **Market Conditions & Special Cases** <a href="#market-conditions-and-special-cases" id="market-conditions-and-special-cases"></a>

* **Termination Area/Condition**: A chart condition indicating a high probability of trend reversal.
* **Limit Order – Entry**: Placing an order at a specific price **before** the market reaches it.
* **Gap – Big Gap – Gap to Synthetics**: The market is at support/resistance while synthetic triggers are far away.
* **Retracement – Pullback**: A temporary price movement against the primary trend.