What is Risk-On / Risk-Off?
A market environment where investors either seek out risk (Risk-On) or flee to safety (Risk-Off).
In-Depth Explanation
Practical Example
"The geopolitical news caused a sudden shift to a Risk-Off sentiment."
Related Terminology
Sentiment
The overall attitude of investors toward a particular security or financial market.
Volatility
A measure of how much and how quickly the price of an asset changes over time.
Stop Loss
An order placed with a broker to sell (or buy) an asset when it reaches a certain price, to limit losses.
Take Profit
An order placed to close a profitable trade once it reaches a specific price target.
Tactical How-To Guides
How to Start Trading in the UK — Step by Step
Learn how to start trading in the UK. A complete step-by-step guide covering regulation, choosing a broker, and placing your first trade safely.
How to Day Trade — Step by Step
Master the art of day trading. Learn how to manage your time, choose instruments, and execute trades within a single day.
How to Set a Stop Loss Properly
A stop-loss is your insurance policy. Learn how to place stops based on market structure rather than random numbers.
Master the language of risk
Knowing the terms is just the start. Learning how to apply them is where the edge is found.
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