Thursday, March 24

Whats your trading style: Day Trading or Swing Trading

To be a successful trader you need to find a "Trading Style" which suits you "THE BEST" , in terms of risk appetite, stress,money management. A trader who is not comfortable with his trading style or has not found trading style are the one who commits the trading sins and blow of their trading account.
Trading can be broadly classifies into:
  • Day trading
  • Swing trading or Positional Trading.
Let's define these two terms:
  • Day Trading is also known as 'Intraday'. It  means opening and closing a position within the same trading day. Traders who are interested in scalping,quicker and smaller  profits and trading on leverage and who can make multiple trades per day work on this strategy.
  • Swing Trading means that you are trying to take advantage of larger price swings in the markets. Traders will carry positions for few days to 2-3 weeks. Trades can be taken based on Gann/Harmonics/Price Action trading methodology to find swing trades.
So which trading approach is better - Swing trading or day trading? Traders can look to either day trade or swing trade, the benefits and drawbacks are
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