Van Tharp Institute Glossary
The Van Tharp Institute Glossary is a comprehensive resource designed to help traders and investors understand the essential terminology and concepts related to trading psychology, systems development, and market analysis. Whether you’re a beginner or an experienced trader, this glossary offers clear definitions and insights into the principles that Dr. Van Tharp championed. By providing a deeper understanding of key terms, the glossary aims to enhance your knowledge and support your journey toward consistent and profitable trading. Explore the glossary to unlock the language of trading success.
False Positive
Something that gives a prediction that then fails to happen.
Fibonacci Retracements
The most common levels used in retracement analysis, which are 61.8 percent, 38 percent, and...
Filter
An indicator that selects only data that meets specific criteria. Too many filters tend to...
Financial Freedom
A financial state that occurs, according to Van Tharp, when your passive income (income that...
Fixed Ratio Position Sizing
A method in which position sizing is altered to some ratio of your account, called...
Floor Trader
A person who trades on the floor of a commodities exchange. Locals tend to trade...
Forex
The foreign exchange. A huge market in foreign currencies made by large banks worldwide. Today...
Fundamental Analysis
Analysis of the market to determine its supply-and-demand characteristics. In equities markets, fundamental analysis determines...
Futures
A contract obligating its holder to buy a specified asset at a particular time and...