What is Minting Crypto? Minting crypto is the process of generating new coins by authenticating data, creating new blocks, and recording the information onto the blockchain through a “proof of stake” protocol. Both new units of a cryptocurrency and Non-Fungible Tokens (NFTs) can be minted this way. Newly minted cryptocurrency is added to the circulation…
What is a Continuation Pattern? A continuation pattern, commonly referenced in technical analysis, is a pattern that forms within a trend that generally signals a trend continuation. In contrast to reversal patterns, continuation patterns signal a temporary consolidation in the middle of a trend. Common Types of Continuation Patterns Continuation patterns may be identified on…
What is a Percentage Lease? A percentage lease, a type of lease commonly used in commercial real estate, is a lease arrangement where the tenant agrees to pay a predetermined rent (the base rent) in addition to a percentage of sales made when conducting business on the rental property to the landlord. How a Percentage…
What is a Pennant Pattern? A pennant pattern, referred to technical analysis, is a continuation pattern that is seen when a security experiences a large movement to the upside or downside, followed by a consolidation period, before subsequently moving in the same direction. Key Characteristics When looking at a pennant pattern, one will identify three…
What is Reflation? Reflation refers to a fiscal or monetary policy (or policies) aimed towards stimulating the economy (i.e., increasing the level of economic activity) and combating deflation. It is used to restore long-run inflation, reduce the time span of an economic contraction, or reignite an expansionary business cycle. Reflation may also be used to describe…
What is Paper Trading? Paper trading is a form of simulated trading where an individual makes trades without committing real money. This is done by writing the trade on paper (hence the term “paper trading”) rather than placing a real order through a brokerage. Understanding Paper Trading Paper trading is frequently used by first-time traders…
What is Revenge Spending? Revenge spending, also known as revenge buying, is used to characterize the incremental increase in consumer spending (versus normal levels) after an unprecedented adverse economic event (for example, the COVID-19 pandemic). In simpler terms, revenge spending is the urge to spend money to make up for lost time. How Revenge Spending…
What is Capitulation? Capitulation refers to a situation in which investors/traders liquidate their existing long stock position during an extended stock price decline. It can be viewed as the moment in which investors/traders lose hope in their long position and accept losses. Understanding Capitulation Capitulation, derived from the military, means to give up or surrender….
