Technical Basics

Imagine you bought a new pair of shoes on sale and noticed they went on sale again just a week later. As a swing trader, you might have waited to buy them at the lower price, capitalizing on the price fluctuation.
Swing trading is a popular trading strategy that aims to capture gains in a stock (or other financial instruments) over a period of a few days to several weeks. Unlike day trading, which involves quick trades within the same day, or long-term investing, which focuses on buy-and-hold strategies, swing trading falls somewhere in between.

This article delves into the intricacies of swing trading, exploring its definition, strategies, tools, and potential risks and rewards.