J
JSON (JavaScript Object Notation)
A lightweight data format commonly used in web applications to store and transmit information. In 3Commas, JSON files are often used to define bot configurations or custom signals.
L
Lagging Indicator
A technical analysis tool that follows price movements and confirms trends after they occur, such as Moving Averages.
Leverage
The ability to trade with borrowed funds to amplify potential returns. In 3Commas, leverage is available for futures trading, offering both increased profit potential and risk.
Limit Order
A type of order that allows you to buy or sell an asset at a specific price or better. 3Commas supports limit orders through its SmartTrade and bot configurations.
Liquidation
The forced closing of a leveraged position when a trader’s balance falls below maintenance margin requirements.
Liquidity
The ease with which an asset can be bought or sold without affecting its price. High liquidity assets are preferred for trading as they allow smoother transactions.
Liquidity Pool
A collection of funds locked in a smart contract to facilitate decentralized exchange (DEX) trading, used in DeFi Services.
Long Position
A trading position where a trader profits if the asset’s price increases. 3Commas offers tools to optimize long strategies using bots or SmartTrade.
M
MACD (Moving Average Convergence Divergence)
A technical indicator that shows the relationship between two moving averages of a security's price. It is used in 3Commas for creating strategies and monitoring trends.
Margin Call
A notification from an exchange requiring a trader to deposit more funds to maintain a leveraged position.
Market Depth
A measure of liquidity showing the total volume of buy and sell orders at different price levels.
Market Order
An order to buy or sell immediately at the current market price. Market orders ensure execution but may result in slippage during volatile markets.
Marketplace Signals
Pre-configured trading signals available in 3Commas Marketplace, allowing users to subscribe to proven strategies and automate trades.
Market Trend
The general direction of an asset’s price, categorized as uptrend, downtrend, or sideways movement.
Mean Reversion
A trading strategy that assumes an asset's price will return to its average or mean value over time. It can be implemented with 3Commas bots using indicators like Bollinger Bands.
Minimum Order Size
The smallest trade size allowed on an exchange. 3Commas automatically checks and enforces this limit to ensure compliance with exchange rules.
N
Net PnL (Profit and Loss)
The total profit or loss of a trading account after deducting fees and costs. 3Commas displays net PnL in its performance tracking tools.
Neutral Strategy
A trading approach designed to profit in both bullish and bearish markets, such as arbitrage or market-making.
NFA (Not Financial Advice)
A common disclaimer in crypto trading communities, indicating that shared information should not be considered investment advice.
Node
A computer or device that participates in a blockchain network by storing and validating transactions. While not directly tied to 3Commas, understanding nodes is critical for crypto traders.
Nonce
A unique number used in API requests to ensure transactions are not duplicated.
Notification Alerts
Real-time updates provided by 3Commas to inform users about bot activity, trade executions, or price changes.
O
Off-Exchange Settlement
The transfer of crypto assets between wallets without executing a trade on a centralized exchange.
OHLC Chart (Open, High, Low, Close)
A common candlestick chart format that displays an asset’s price range within a given time frame.
Options Trading
A derivatives trading method where users buy or sell contracts based on future price expectations, not currently supported in 3Commas.
Order Book
A digital list of buy and sell orders for a specific asset on an exchange. 3Commas uses order book data for executing trades and determining bid/ask prices.
Overbought
A market condition where an asset's price has risen significantly, often followed by a correction. Indicators like RSI in 3Commas can help identify overbought conditions.
Oversold
A market condition where an asset's price has fallen significantly, often leading to a rebound. 3Commas tools can be used to capitalize on oversold opportunities.
P
Paper Trading
A simulated trading environment where users can practice strategies without risking real funds. 3Commas offers this via Demo Mode.
Perpetual Futures
A type of futures contract without an expiration date, allowing traders to hold positions indefinitely.
PnL (Profit and Loss)
A measure of trading performance showing gains or losses over a specific period. 3Commas provides detailed PnL metrics for analyzing trades.
Portfolio Management
The process of tracking, analyzing, and rebalancing crypto holdings across multiple exchanges. 3Commas offers portfolio management tools for streamlined trading.
Position Size
The total value of a trade or investment in a single position. Calculating the correct position size is vital for managing risk.
Price Action
A trading method based on analyzing an asset’s historical price movements without relying on indicators.
Pump and Dump
A market manipulation scheme where an asset's price is artificially inflated ("pumped") before being sold off ("dumped"). 3Commas provides tools like trailing stop-losses to mitigate risks during such events.
R
Rebalancing
The process of adjusting a portfolio to maintain a desired allocation of assets. 3Commas offers automated rebalancing features to keep portfolios aligned with user goals.
Rekt
Crypto slang for experiencing significant losses in a trade, often due to overleveraging.
Retracement
A temporary reversal in price within a larger trend, often identified using Fibonacci levels.
Risk-Reward Ratio
A metric that compares the potential profit of a trade to its potential loss, helping traders assess trade viability.
ROI (Return on Investment)
A metric used to measure the profitability of a trade or strategy, expressed as a percentage of the initial investment.
Risk Management
Strategies and tools used to minimize trading losses. 3Commas offers features like stop-loss, trailing stop, and averaging orders to help users manage risk effectively.
RSI (Relative Strength Index)
A momentum oscillator that measures the speed and change of price movements. RSI is available in 3Commas for creating strategies and monitoring overbought/oversold conditions.