Trading type 101 Trend

Timeframe: Varies based on trend duration

Goal: Identify and follow existing market trends

Best for: Traders who can adapt to market shifts and maintain positions as long as the trend persists

Note: Relies heavily on technical indicators to confirm trends

Investopedia

6. Momentum Trading

Timeframe: Short to medium term

Goal: Exploit momentum in stock prices

Best for: Traders who can quickly identify and act on strong price movements

Note: Requires timely entry and exit to maximize gains

7. Mean Reversion

Timeframe: Short to medium term

Goal: Profit from assets returning to their average price

Best for: Traders who can identify overbought or oversold conditions

Note: Utilizes statistical analysis to determine entry and exit points

8. Fundamental Trading

Timeframe: Varies based on fundamental events

Goal: Make decisions based on economic indicators and company fundamentals

Best for: Investors interested in the intrinsic value of assets

Note: Involves analyzing financial statements, earnings reports, and macroeconomic data

#TradingTypes101