#MyTradingStyle What type of trading do you engage in?
Scalping: It is the fastest trading, seeking small profits from minimal price movements, often within seconds or minutes. Numerous trades are made daily, taking advantage of volatility and liquidity. It requires constant attention and quick decisions.
Day Trading (or Intraday): Trades are opened and closed within the same trading day, avoiding holding positions overnight. Day traders aim to benefit from daily price fluctuations, primarily using technical analysis.
Swing Trading: It involves holding positions for several days or weeks, aiming to capture short- and medium-term price movements, or "swings" in the market. It combines technical and fundamental analysis to identify trends.
Position Trading: It is the long-term strategy, where positions are held for weeks, months, or even years. Position traders rely heavily on fundamental analysis and macroeconomic trends, ignoring minor daily fluctuations.
Algorithmic Trading (or Automated Trading): It uses computer programs and predefined algorithms to execute trades automatically, analyzing market data in real time. This allows for greater speed and accuracy, eliminating the emotional component.
High-Frequency Trading (HFT): A subcategory of algorithmic trading, where algorithms execute an extremely high number of orders in milliseconds or microseconds, seeking profits from minimal price differences. It requires advanced technology and low-latency connections.