#TradingTypes101 #TradingTypes101 – Here's a quick guide to the main types of trading you’ll come across in financial markets:
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📈 1. Day Trading
Timeframe: Positions opened and closed within the same day.
Goal: Profit from small price movements.
Requires: Quick decision-making, strong technical analysis skills, and constant market monitoring.
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🕐 2. Swing Trading
Timeframe: Holds positions for days to weeks.
Goal: Capture “swings” in the market (medium-term trends).
Requires: Patience, trend analysis, and less time than day trading.
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🕵️♂️ 3. Position Trading
Timeframe: Weeks to months, sometimes even years.
Goal: Profit from long-term market trends.
Requires: Fundamental analysis, macroeconomic understanding, and discipline.
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⚡ 4. Scalping
Timeframe: Seconds to minutes.
Goal: Make dozens/hundreds of small profits throughout the day.
Requires: Speed, precision, and very low transaction costs.
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🌍 5. Algorithmic Trading (Algo Trading)
Timeframe: Any, depends on the programmed strategy.
Goal: Use algorithms and automation to trade efficiently.
Requires: Programming knowledge, backtesting, and solid strategy.
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