When people talk about Stock Trading – what are they really saying? Below is a discussion of two most common types of trading personalities – Day Traders and Swing Trading.
Day Trading vs. Swing Trading: An Overview
Active traders often group themselves into two camps: the day traders and the swing traders. Both seek to profit from short-term stock movements (versus long-term investments), but which trading strategy is the better one? Here are the pros and cons of day trading versus swing trading.
- Day trading involves using technical analysis and charting systems to make many trades in a single day.
- Swing trading makes trades based on swings in stocks, commodities, and currencies that take place over days or weeks.
- Traders should choose the strategy that complements their skills, preferences, and lifestyle.