Swing Trading

Discussion in 'Trading' started by Merc, Mar 25, 2003.

  1. Merc


    Is Swing Trading is still valid in the current totally unpredictable Market, considering everything what is going on now in the world?
    Do you really want to go sleep without knowing where you will wake up next morning?
  2. ctrader


    Its working for me.
  3. its working for me too, I don' t understand why anybody would say swing trading isn't working.

  4. This is one of the biggest falacies of swing trading. A pro swing trader.. risks a tiny % of their equity per a trade... and in case of the huge gap down risk in the morning.. traders make sure to allocate a fraction of their capital per a position... Its called reverse position sizing.

    The biggest benefit of swing trading.. is unlimited time. Assuming you are in a profit zone.. and trail your position... you can make a huge killing. Day traders need to be out at 4pm.. so time is usually against them. The only argument to unlimited time is that you are exposing capital at a greater length... but thats how the game is played. Every trade exposes capital... and you need to be in ther market to make $.

    Also.. why do you think swing trading is less predictable than intraday trading? Most pro traders will tell you.. the farther time frame you look at a chart.. the clearer things get.

  5. No one says you have to be 100% long. A big part of surviving in this game is adjusting your risk profile to fit the market.

    Honestly though, I would say we went through a period of several months that was very difficult for swing trading. We got big moves that seemed totally random.