Swing trading is a short to medium-term trading style aimed at capturing price movements over periods ranging from two days to several weeks.
Strategy Idea:
Buying at the bottom of an upward price wave.
Selling at the top of a downward price wave.
Realizing profits from market fluctuations over a relatively short duration.
⏱️ Time Frame:
Trades usually last from several days to two weeks.
They are not considered day trades like Scalping, nor long-term investments.
🔧 Common Tools:
Moving Averages: to determine the overall trend.
MACD Indicator: to measure momentum and timing of entry and exit.
RSI Indicator: to identify overbought or oversold areas.
Bollinger Bands: to measure volatility and price ranges.
This strategy is suitable for traders looking to achieve profits from clear price movements without the need to constantly monitor the market throughout the day.