Swing Trading vs Day Trading

The combination of high frequency trading, and staring at intra-day charts all day long carries a heavy weight of physiological burden. Most day traders are failing because their patience wears out. They begin to carry out unplanned and reckless trading decisions, mainly out of boredom, fatigue or frustration. I have been there, so I know. There is a natural tendency to follow the shorter time frame intra-day charts because seemingly, that's where all the action is taking place. It took me a while to realize that this vicious and almost inevitable attraction towards the intra-day charts is nothing but a rush of dopamine, just like a drug addict who can't keep his hands off the what typically consumes him. Eventually (and after quite a bit of money down the drain) I found out that the less I'm involved with the markets, the better I do. That's how I discovered swing trading and over time became a full-time swing trader (Also known as position trader).

Swing traders like me, use the core movements from the higher timeframes to ride out longer term trends. We chase the dominant market direction in much of a stress-less fashion. By analyzing and trading mostly with the daily and weekly timeframes, I don’t have to spend much time in front of the screens. It gives me the freedom to set my trading plan and structure, without the burden of constantly having to monitor my trades for hours on end. It is very easy to slip into overdrive mode, which results in over-trading and the inevitable loss of money.

So, is there a light at the end of the tunnel? You bet there is! Believe it or not, I spend no more than 60 minutes per day to carry out all of my trading activities. That is the beauty of swing trading. Not only that it keeps your sanity intact, but it also requires a lot less engagement with the markets thus, leaving most of your day free and available to other activities (such as writing this article...) and pastimes.

Swing trading is all about the medium to long-term cycles. These cycles are best observed, and cross-analyzed against the monthly, weekly and daily timeframe charts. From here, we can easily identify three different cycles: Short-term, medium-term and long-term. Short-term cycle represents price movements lasting from a few days and up to a couple of weeks, but usually no longer than 3 weeks. The medium-term cycle generally lasts between a couple of weeks and up to a couple of months, while the long-term cycle can define the underlying trends that usually lasts from several months and up to a year or two, in many cases.

As far as I see it, there are 3 main reasons behind failed traders, who by the way make up the vast majority of all market participants. The first would be lack of adequate method of analysis. The second would be the lack of adequate risk and money management system, which basically means the lack of a solid and fully systematic approach. The third, is simply trading misconduct with the high-speed short-term timeframes of the intra-day charts.

Adopting swing trading style allows us to remove the third issue out of the way and focus on dealing with the remaining two. From that point on, it's all about tackling those remaining issues, and eventually removing them out of the way just as well.

Roy

However, every trader has some needs regarding the forex trading. Usually those trader who are risk adverse may want to move with day trading as day trading ends with one definite results. but I love to trade with scalping as it provides me more flexibility to use the same amount repeatedly by usually revolving the same here.

I think every new trader should do day trading. It is safer than swing trading.

I would prefer Day trading than swing trading because Day trading is just buying and selling securities on the same day or multiple times a day, and swing trading is fast but it makes trades for few days or more, and it accumulates profits and losses more slowly than day trading.

Found myself to be more preferred with daytrading over swing trading, but it all always comes to your preference.

Both are good trading strategies if you know how to utilize them.

robindude posted:
Found myself to be more preferred with daytrading over swing trading, but it all always comes to your preference.

I also prefer day trading.

I prefer day trading. Because I am a day trader.

When you begin learning forex, you will discover that there are many ways to trade and many market analyses that can be used, and you will soon decide that one method is the best and most suitable for you.

Williamfreed posted:
When you begin learning forex, you will discover that there are many ways to trade and many market analyses that can be used, and you will soon decide that one method is the best and most suitable for you.

There are many ways to trade and almost all are unprofitable. If I knew just 1 method that made money then I would be happy

Thank you for your time to share this insight to your trading style.
I have long been considering the higher timeframe approach, and this has given me good food for thought!

And what, which option do you think is more profitable?

i do both if its required. its good to be flexible i believe. if im day traiding and its going against me ill hold and scalp it until it changes which could be a couple days. i only do this with one pair im happy wont go to far out my comfort zone. play comfortable. i had a trade go 3g against me last wk i scalped 2g off it and now its just about in profit.hope that helps woof

Day trading is better than swing trading. That’s what I think. However, which one a trader gets more value from depends on their skills, requirements, and preferences.

it all depends on how much time and $$$ you have. You need a big account to be a swing trader (but this has benefit of not taking up much time). A day trader is much more time intensive but has the advantage of requiring a much smaller account

Which is better suitable for beginners? Is it swing trading or day trading?

Aubrey22 posted:
Which is better suitable for beginners? Is it swing trading or day trading?

Swing trading is the best for beginner traders.

@Williamfreed but that one strategy doesn't work in all market conditions. My plan stays very simple. When the market is fluctuating a lot i adopt scalping strategy as it allows me to gain enough pips with regular ins and outs, and if the market is a bit steady i prefer swing trading it and hold the position for longer period of time.

Which has better chances of profit and is also flexible in time frames, Swing or Day trading?