Day or Swing Trading

Firstly the trader needs to identify his/her strategy e.g. Day Trader, Swing Trader or Investor. A Day Trader is usually in and out the same day and on the odd occasion may hold overnight. Where as a swing trader may hold for several weeks, often looking for Pivot points or trading impending announcements. It is important for the trader to have a plan, firstly to identify a
trigger to enter the market and then a plan to exit taking profits or cutting a loss.

Triggers for entry might be

1. Technical analysis break out
2. Key reversal
   
3. Fundamental announcement release
4. Speculation of a future release

The trader needs to be aware of which way he/she is going in the market, long or short. Going long means to purchase the stock, commodity or currency. Going short means to either liquidate part or all of your position or to sell an instrument that you do not hold and buy back at a cheaper price.



Day trading to swing trading has high risk money can be lost, I am not licensed to give advise. Soon I will be pasting trades of my own but suggest you seek financial advice and take responsibility for your own trades





Disclaimer - Commodity Futures Trading Commission Futures and Options trading has large potential rewards, but also large potential risk. You must be aware of the risks and be willing to accept them in order to invest in the futures and options markets. Don't trade with money you can't afford to lose. This is neither a solicitation nor an offer to Buy/Sell futures or options or any financial product. No representation is being made that any account will or is likely to achieve profits or losses similar to those discussed on this web site. The past performance of any trading system or methodology is not necessarily indicative of future results.

*All user experiences are unique and you may do better or worse than those shown. No representation is being made that these results can or will be obtained in the future, or that losses were not incurred subsequent to the date on which the testimonial was provided.
*CFTC RULE 4.41 - HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN LIMITATIONS. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED RESULTS DO NOT REPRESENT ACTUAL TRADING. ALSO, SINCE THE TRADES HAVE NOT BEEN EXECUTED, THE RESULTS MAY HAVE UNDER-OR-OVER COMPENSATED FOR THE IMPACT, IF ANY, OF CERTAIN MARKET FACTORS, SUCH AS LACK OF LIQUIDITY. SIMULATED TRADING PROGRAMS IN GENERAL ARE ALSO SUBJECT TO THE FACT THAT THEY ARE DESIGNED WITH THE BENEFIT OF HINDSIGHT. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFIT OR LOSSES SIMILAR TO THOSE SHOWN

There is a substantial risk of loss associated with trading futures, forex, stocks, and options. Only risk capital should be used.

Swing / Day Trading Tips

Recently I received an email from a colleague of mine Kevin Brown the author of "The Definitive Guide to Swing Trading Stocks" and thought I would share it with you on my blog, Kevin is a sophisticated teacher in Swing / Day trading; to access free chapters of Kevin's course you can click here

For now though read these important points that will help you to formulate a plan to begin your new career as a trader, see below.

The markets are a wild place to make a living. That is why I wrote the "Definitive Guide to Swing Trading Stocks."

If you have been looking for a trading resource that will "open your eyes" then this is it, remember, when it comes to trading stocks it's not about how hard you work. It's about KNOWING exactly what to do, and putting that knowledge to work.

Here are ten simple rules you should use for trading success...

1) CHOOSE YOUR TRADING STYLE CAREFULLY.
Give plenty of thought to what kind of trading you want to do. Would you prefer day trading, where you close out every trade at the end of each day? How about short-term trading where you are in a position several days at a time? Maybe you'd rather be a weekly trader or monthly trader. Though you can always change your mind, it's wise to have a clear idea of the style of stock trading you prefer BEFORE you start.

2) MATCH YOUR TRADING STYLE TO YOUR LIFESTYLE.
Your choice of trading style is especially important from a lifestyle perspective. Day trading usually means you will be at your computer for hours at a time. Longer term stock trading doesn't require as much attention. As a rule, the shorter the time frame the more intense the trading.

3) SELECT A BROKER THAT MATCHES YOUR TRADING
STYLE. The type of stock trading you choose will determine the type of broker to use. Day traders need high-speed direct access technology. Short-term daily, weekly, and monthly traders can use less sophisticated discount brokers. When it comes to broker fees and other costs, day trading is the most expensive.

4) BALANCE LOW RISK & HIGH REWARD.
Stock trading involves risk. Period. Most people inflict serious damage to their trading account before they learn how to win consistently. Though it may not seem glamorous, risk management is essential for successful stock trading. The only way to get the reward is to control the risk.

5) MAKE SURE YOUR TRADING METHOD WORKS IN ALL MARKET CONDITIONS. The stock market doesn't just go up. It goes down too - sometimes for months or years. Use a stock trading method that takes advantage of both down-markets and up-markets.

6) TRADE THE BEST STOCKS.
Superior stock selection takes advanced skills and extensive research. Unless you are extremely skilled with lots of spare time, it's usually best to seek the advice of a professional. Avoid big brokerage firms and mutual funds as facts show that most of their trading "experts" end up losing money.

7) KNOW WHEN TO GET OUT.
Everyone focuses on what and when to get in, yet few ever consider the best time to liquidate either a Long or Short position. Paper profits only become real money when you convert them to cash. Don't let your stock gains disappear due to neglect. Plan ahead. Before you get in, always know the specific conditions that will signal when it's time to get out.

8) CHECK YOUR WINNING EDGE.
A "winning edge" consists of the favorable factors that set winners apart from losers. You must have a reliable advantage to consistently make money trading. Ask yourself - "What factors give me an edge?" Be specific. If you aren't sure, you probably don't have an edge. The only way to know is to analyse your methods and measure your results.

9) INVEST IN A GOOD STOCK TRADING EDUCATION.
Surveys show that 9 out of 10 investors believe their chances of winning are "above average" yet more than 80% of them actually lose money. This is simply because they don't have the specific information needed to win. "If you think education is expensive, try ignorance."

10) ASSOCIATE WITH SUCCESSFUL STOCK TRADERS.
Stock trading presents unique challenges. If chosen carefully, experienced traders can be among your best trading resources. You may even wind up with a good friend! Successful trading,

Kevin Brown

Author/Trader

Tto obtain your free chapters to review this course which is beneficial to both beginners and serious traders take action now, click here!