#TradingTypes101 Trading Types 101 refers to the introduction to the main types of trading in financial markets. Here is a simple and straightforward summary:
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🧠 Trading Types 101 – Quick Summary
There are four main types of trading, classified mainly by the duration of the operation and the trader's profile:
1. Scalping
Duration: Seconds to minutes.
Objective: Small and quick profits in many trades.
Profile: High frequency, requires focus and quick decisions.
Common markets: Forex, cryptocurrencies, futures.
2. Day Trading
Duration: One single day (no position is held overnight).
Objective: Profit from daily price movements.
Profile: Active, with good technical analysis and risk management.
Common markets: Stocks, forex, indices.
3. Swing Trading
Duration: Days to weeks.
Objective: Take advantage of medium-term price movements.
Profile: More flexible, ideal for those who cannot trade every day.
Tools: Technical and fundamental analysis.
4. Position Trading (or Positioning)
Duration: Weeks to months (sometimes years).
Objective: Capture major trends.
Profile: Patience and long-term vision.
Focus: More fundamental analysis.
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🧾 Other important concepts:
Trader = Person who buys and sells assets seeking profit.
Traded assets: Stocks, cryptocurrencies, commodities, currency pairs, etc.
Technical analysis = Use of charts and indicators.
Fundamental analysis = Focus on the fundamentals of the company or economy.