What to know about swing trading and how to minimize risks of this speculative trading strategy

If you’re considering swing trading, you’ll need to have the skills required to analyze charts and numbers to be successful.
Swing trading is a speculative strategy where investors buy and hold assets to profit from expected price moves.
Swing traders leverage technical analysis to determine entry (buy) and exit (sell) points.
Swing traders are exposed to gap risk, where a security’s price changes while the market is closed.

Investors approach the stock market with a variety of goals. Many invest for the long-term, seeking to build wealth over time, while others trade for short-term profits — and many people do both. There are a variety of strategies for trading, but one of the most accessible to newcomers is swing trading.   

Unlike day trading, where trading is extremely fast-paced, swing trading is slower. This strategy is a great way to understand market movements and dip your toe into technical analysis. Here’s what the curious trader should know.

What is swing…

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This article was written by [email protected] (Rebecca Baldridge) and originally published on www.businessinsider.com