Spread Betting Glossary: D
1. Daily bets: Positions that must be closed within the day on which they were placed, unless the positions are allowed to hold overnight, which usually incurs short term financing costs.
2. Daily settlement: The final closing price of a market over the course of a given trading day.
3. DAX: The chief stock exchange of Germany, comprised of the 30 largest German listed companies.
4. Dead Cat Bounce: A term used to describe a short-lived recovery in a continually falling asset's value. Derived from the notion that if something falls from a great height, it is bound to bounce back a little upon impact – as even a dead cat would surely bounce!
5. Deposit: Any amount paid in to a trading account to provide capital or cover margin.
6. Deposit account: A trading account with no credit terms or credit limit, requiring sufficient funds to cover the stake and margin requirements before allowing positions to be opened.
7. Derivative: A tradable contract which is linked to an underlying asset such as a particular security or commodity, allowing traders to take leveraged positions, reduce tax liability and trade more flexibly.
8. DJIA: A subset of the Dow Jones index, the Dow Jones Industrial Average is an index of US-based leading blue-chip stocks.
9. Down bet: Equivalent to shorting, a down bet is a position against a market forecasting a downwards movement.