Types of Trading Styles

1. Scalping

Enters and exits trades within minutes.

Relies on small and quick movements.

Requires high focus and quick decision-making.

Often uses leverage and indicators like RSI and MACD.

2. Day Trading

Opens and closes trades on the same day.

Does not leave the trade open for another day.

Relies on news and quick technical analysis.

3. Swing Trading

Holds trades for days or weeks.

Relies on trends and moving averages.

Requires patience and deeper analysis.

4. Position Trading

Holds the asset or stock for months or even years.

Focuses more on fundamental analysis.

Considers the project or company behind the financial asset.

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⚠️ Secondly: Components of a Successful Trading Style

1. Market Analysis:

Do you use charts? Indicators? News?

2. Capital Management:

What percentage of your capital do you enter with?

Do you use stop loss? Or not?

3. Psychological Discipline:

Do you quickly take profits when you win? Or do you fear and sell at a loss?

Do you follow a plan? Or do you act randomly?

4. Your Trading Goals:

Do you want daily income? Or do you want to double your capital in the long term?

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🧠 Example of Style Analysis:

If you, for example:

Enter the market after hearing news about a currency,

And buy without a clear plan,

And fear and sell as soon as you see a 5% loss,