Swing Trading strategy is a medium-term trading approach that aims to profit from price fluctuations that occur over a period ranging from several days to several weeks.

## Advantages of Swing Trading

1. **Medium-term timeframe**: Between day trading and long-term investing

2. **Multiple opportunities**: Can be applied to various markets and assets

3. **Time flexibility**: Does not require real-time monitoring like day trading

## Fundamentals of the strategy

### 1. Overall trend analysis

- Identify the main market trend (upward, downward, sideways)

- Trading in the direction of the overall trend increases the chances of success

### 2. Entry points

- Use technical indicators such as:

- Moving averages (50 days, 200 days)

- RSI indicator (30 for oversold, 70 for overbought)

- MACD to confirm the trend

### 3. Risk management

- Set stop-loss orders

- Ideal risk-to-reward ratio of 1:2 or more

- Define profit targets

## Practical example

1. **Select the stock**: A stock in an upward trend with a recent correction

2. **Entry**: When the price rebounds from a support level with confirmation from the RSI indicator above 30

3. **Stop loss**: Below the last support level

4. **Profit target**: At a nearby resistance level or a 2:1 risk ratio