#TradingTypes101

A simplified guide to the most popular trading methods and strategies used in financial markets.

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📈 1. Day Trading

Definition: Buying and selling assets within the same day.

Goal: To achieve profits from short price movements.

Common tools: Stocks, foreign currencies (Forex), cryptocurrencies, contracts for difference.

Time frame: Minutes to hours.

Suitable for: Those with enough time and ability to make quick decisions.

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📉 2. Swing Trading

Definition: Holding positions for several days to weeks.

Goal: To benefit from medium-term trends.

Analysis used: Technical analysis, chart patterns.

Suitable for: Those who can monitor the market daily without committing to trading all day.

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⏳ 3. Position Trading

Definition: Opening long-term positions that may last for weeks or months.

Focus: On economic factors and fundamental analysis.

Time frame: Weeks to months, and sometimes years.

Suitable for: Investors who prefer patience and a long-term vision.

💹 4. Scalping

Definition: Making very short trades with the aim of achieving small, repeated profits.

Number of trades: Can reach hundreds daily.

Time frame: Seconds to minutes.

Suitable for: Those who are quick in decision-making and use advanced technical tools.