An approximation of the change in an Option’s delta relative to a change in the price of the underlying stock when all other factors remain constant. Gamma is accurate for small changes in the price of the underlying stock, but is expressed in terms of a change in delta for a one-point move in the stock.

For example, if a call has a delta of .49 and a gamma of .03, if the stock moves down one point, the call delta would be .46 (.49 + (.03 x –USD 1.00)). Generated by a mathematical model, Delta depends on the stock price, strike price, volatility, interest rates, dividends, and time to expiration.



Also known as leveraging.
The ability to hold an investment position of greater value than that of your equity (collateral). When gearing your investment, you need only deposit a fraction of the current value of the instrument you are investing in.

For example if the commodity you are trading in requires a margin of 5%, this allows you to leverage (or gear) your investment 20 times.
In other words, a deposit of USD 10'000 can hold a position of USD 200'000.

Good till Cancelled (GTC)

A type of limit order that is active until it is filled or cancelled. Unlike a day order, a GTC order can remain active for an indefinite number of trading sessions.

Good till Date (GTD)

An order that can be executed up until a date specified by the trader. If the order is not executed by that date, the order will be cancelled.