Forex Glossary

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H
Head and Shoulders
The head and shoulders graphical price pattern indicates the end of an existing trend and the further change in the direction of the price movement. It is typically formed in a developed uptrend.
Hedge/hedging
A strategy to decrease the risk of impact of volatile price fluctuations on trader’s positions. As a rule, hedging involves the sale or purchase at the forward price or the opening of a position on a similar asset. Hedging becomes more popular with the increase of market uncertainty.