Friday, 8 July 2011

Swing Trading

Swing trading is commonly defined as a speculative activity in financial markets whereby instruments such as stocks, indexes, bonds, currencies, or commodities are repeatedly bought or sold at or near the end of up or down price swings caused by price volatility, share tips. A swing trading position is typically held longer than a day, but shorter than trend following trades or buy and hold investment strategies that can be held for months or years. Profits can be sought by engaging in either Long or Short trading.

Swing Trading takes advantage of brief price swings in strongly trending stocks to ride the momentum in the direction of the trend.Swing trading combines the best of two worlds -- the slower pace of investing and the increased potential gains of daytrading.

The swing trading investment strategy is attempts to capture profits from a stock typically within a one to four days. The timeframe of swing trading lies between day trading and trend trading. Swing traders are not home run hitters going for 100% plus gains, but they are typically content with smaller gains on a more consistent timeframe.

Whether you're new to stock exchange investing, or have some experience but still lack the confidence, a good share trading course will equip you with the knowledge and fortitude to assess market conditions, identify winning stocks, and develop in you the clear knowledge of when to enter and exit trades.

3 comments:

  1. ATS are the best commodity trading firm in south India with recent diversification into stocks.We provide best online trading with very cheap brokerage rate.Share Trading Companies

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  2. Super-Duper site! I am loving it!! Will come back again.

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