Swing trading
Information is not investment advice
It is a type of trading which combines fundamental and technical analysis to catch the most significant price movements and avoid trading at idle times. It is mostly a medium-term trading style that requires holding positions open for several days, so you should be patient enough to tolerate the period of time when the price goes against you. The key goal is to identify medium-term trends and enter the market only when there seems to be almost 100% probability of winning.
Swing trading presupposes large price moves and therefore requires a well-judged position size management to minimize downside risks.
Example of a trader
It is not an easy task to find a truly famous swing trader, although there are a lot of coaches and instructors who prefer this trading style. One of the most famous and respected swing traders is Alan Farley who earned a lot on using his swing trading strategies. He is the author of The Daily Swing Trade, the book that offers different tactics and techniques for swing traders. If you decide that this style of trading suits you, you might be interested in reading it.
Other articles in this section
- Fibonacci fan
- Fibonacci expansion
- How to Use Fibonacci Retracements
- Reversal candlestick patterns
- Continuation candlestick patterns
- How to deal with market noise?
- Gator Oscillator
- Awesome Oscillator
- Ranges
- Alligator indicator
- Bill Williams theory
- Fractals
- Chart patterns
- Uncovering Gann indicators
- Candlestick patterns
- Carry trade
- Scalping
- Fibonacci tools
- Trader's psychology
- How to identify market reversal
- Japanese Candlesticks
- Trends
- Market conditions and phases
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