Understanding Basic Terms

General Trading Terms

• Algorithmic Trading: Automated trading using computer programs following predefined rules to route trades

• API (Application Programming Interface): A secure method allowing SageMaster to communicate with exchanges

• Backtest: A simulation of a trading strategy using historical data to evaluate its potential performance

• Market Order: An order to buy or sell immediately at the current market price

• Limit Order: An order to buy or sell at a specific price or better

• Stop Order: An order that becomes a market order when a specified price is reached

• Take Profit (TP): An order to close a position at a profit target

• Stop Loss (SL): An order to close a position at a specified loss limit

• Long Position: Buying an asset with the expectation that its value will increase

• Short Position: Selling an asset with the expectation that its value will decrease

• Leverage: Trading with borrowed funds to multiply potential returns (and risks)

• Margin: The collateral required to open a leveraged position

• Liquidation: Forced closure of a position when margin requirements are not met

• Realized Profit/Loss: Profit or loss from closed positions

• Unrealized Profit/Loss: Current profit or loss on open positions

• Drawdown: The peak-to-trough decline during a specific trading period

• Break-even Point: The price at which a trade neither makes nor loses money

• ROI (Return on Investment): Percentage gain or loss on your initial investment

SageMaster-Specific Terms

• Base Order: The initial order placed in a DCA strategy

• Extra/Safety Order: Additional buy orders routed at lower prices to reduce average entry price

• DCA Cycle: A complete set of base and safety orders for a single trading strategy

• Smart Take Profit: Dynamic take profit that adjusts based on market conditions

• Smart Trailing: Trailing stop mechanism that follows price movements to maximize profit

• Grid Lines: Price levels where buy or sell orders are placed

• Grid Range: The price range between the uppermost and lowermost grid lines

• Grid Step: The price distance between adjacent grid lines

• Grid Spacing: Linear or geometric distribution of grid lines

• Bearish Grid: Grid strategy optimized for downward market trends

• Breakeven Adjustment: Automatically moving stop loss to entry price after reaching a specified profit level

• Drawdown Limit: Maximum allowed loss before automatically closing a position

• Partial Close: Closing a specific percentage of a position at different price levels

• Trailing Stop: A stop loss that adjusts as the price moves in your favor

• Order Session: A group of related orders managed together

• Money Management: Risk control settings to limit exposure per trade

• Magic Terminal: Command-line interface for advanced platform interactions

• Webhook: An integration point that allows external platforms (like TradingView) to trigger actions

• AI Basket: A diversified portfolio of assets managed using AI strategies

• Current Value: The present market value of your open positions

• Investment: The total capital allocated to a specific strategy

• TradingView Webhook: A method to connect TradingView alerts to SageMaster for automated trade routing

Market Condition Terms

• Volatility: The rate at which the price increases or decreases for a given asset

• Sideways Market: A market showing horizontal price movement in a range

• Trend: The general direction of market movement

• Support Level: A price level where buying pressure tends to overcome selling pressure

• Resistance Level: A price level where selling pressure tends to overcome buying pressure

Risk Management Terms

• Risk-Reward Ratio: The proportion of potential profit to potential loss

• Diversification: Spreading investments across different assets to reduce risk

• Risk per Trade: The percentage of your portfolio risked on a single trade

• Portfolio Management: The process of selecting, monitoring, and adjusting the assets in a trading portfolio

In the following sections, we'll guide you through setting up your account, connecting exchanges, and navigating the platform's features to start implementing your trading strategies effectively.

Disclaimer: Trading involves significant financial risk and can result in substantial losses. Past performance does not guarantee future results. SageMaster does not provide financial advice. Users should ensure compliance with local regulations.