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Monday, May 4, 2009

Trading profit

The profit gained from a position held for less than one year. The profit is taxed at ordinary income rates rather than the long-term capital gains rate.



Sample Graph
source: www.rzb.at/eBusiness/rzb

Spot Market

The spot market or cash market is a commodities or securities market in which goods are sold for cash and delivered immediately.

Contracts bought and sold on these markets are immediately effective.

Spot markets can operate wherever the infrastructure exists to conduct the transaction.

The spot market for most securities exists primarily on the Internet.