How to Swing Trade

Post on: 1 Июнь, 2015 No Comment

How to Swing Trade

Want to Learn How to Swing Trade Stocks Like a Pro? First lets start with defining swing trading. Investopedia defines Swing Trading as to find situations in which a stock has this extraordinary potential to move in such a short time frame, the trader must act quickly. This is mainly used by at-home and day traders. Large institutions trade in sizes too big to move in and out of stocks quickly. The individual trader is able to exploit the short-term stock movements without the competition of major traders. Swing traders use technical analysis to look for stocks with short-term price momentum. These traders arent interested in the fundamental or intrinsic value of stocks but rather in their price trends and patterns.

How to Swing Trade Stocks

Unlike day traders who trade certain stocks every few hours, minutes or even seconds, swing traders tend to hold onto their stocks or funds for a little longer. They may hold onto their investments for several days or even several weeks. Since most market investors hold their stocks, funds and other instruments for years (if not decades), swing trading is still considered high-risk and high-maintenance.

Basics for Swing Trading Stocks:

  • Buy frequently traded stocks. Its difficult to practice swing trading with a stock or set of stocks that doesnt trade constantly and in large volumes. Without a great deal of trading, you cant capitalize on the optimism or pessimism toward the stock, catching it on the upswing and quickly selling it on the downswing.
  • Choose large-cap, popular stocks that are traded in high volumes, such as Home Depot or General Electric.
  • Stay on top of the financial news. Swing traders know that they have to be the first to know the news and among the first to react to the news to take advantage of large-scale buyer or seller reactions.
  • How to Swing Trade
  • Watch the stock as it cycles. Get to know its moods and how it reacts to market indices. Does it track Dow Jones or NASDAQ tracking funds, or does it typically defy the market by moving in reaction to (in the opposite direction of) the market? Just as a surfer watches the ocean before getting in the water to determine how many waves come into the shore before a break, so, too, does a savvy swing trader watch the cycles of one or more stocks.
  • Use your knowledge of the market as a whole and your stock in particular to buy or sell more quickly than your competitors, thereby making a profit. The ability to know how and when to use information is what makes some swing traders rich and others too poor to continue the practice. Some traders use intuition, astrology or mathematical formulas such as Ganns Wheel (or Square of Nine) to determine when to trade.

Swing Trading Tips

Swing trading  is less fast-paced than intra-hour or intra-minute day trading, so it can be a good way for traders to work their way into the day trading lifestyle. In the unusual world of day trading, the trader is a slave to breaking market news and even shifting world events.

Swing Trading Warnings

As with all forms of day trading, learning how to swing trade can be risky. Most inexperienced swing traders (the most commonly repeated statistic is 80 percent) lose money. If the market were predictable, no one would lose money on stock transactions, yet this is what happens every minute of every day. Market timing is the key to successful swing trading and this requires extensive technical analysis  prowess, technical charting and refreshed data that must be reviewed daily. Swing trading software for technicals is required and most software comes with a steep learning curve and is often ardous and take years to perfect.

Swing Trading Made Easy Automated Swing Trading Software

Stocknod swing trading alerts is a revolutionary way for investors to get the critical information they need to stay ahead of the trading curve and maximize gains. Buy & Hold is an outdated trading strategy that provides minimal gains. Swing traders have been successful for years and now with Stocknod Alerts  you can be too. Swing trading software is profitable but until now it has been too time intensive. Stocknod.com is the first automated technical software that has proven results with proven superior trading metrics and beats the S&P by a dozen points year after year. Visit the Hotsheet Stock Picks  last 12 months returns for documented alerts history.

Stocknod swing trader alerts is an automated trading algorithm that provides all the necessary research for our members to maximize profits and stay in front of the swing trading moves. With Stocknod alerts, swing trading has never been easier or more profitable. Stock alerts provide the critical homework to investors- automatically. The Stocknod Neural Network is a custom trading algorithm with over twenty trend indicators that tracks your stocks daily performance and alerts you automatically via email (or sms) when to buy and sell your stocks. Learning how to swing trade requires superior timing and the Stocknod software is the only online stock service that provides this critical data in an easy to use automated format. Try the Stocknod FREE 30 DAY TRIAL  today and start trading with confidence.


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