Four Types of Stock Traders

Four Types of Stock Technical Analysis Traders

The four types of stocks methods for technical analysis traders are: stock scalping, stock day trading, stock swing trading & stock position trading.

Stock traders learn and master one stocks trading style that best suits their stock trading schedule.

Scalping Stock Trading

Scalping stock trading is used by stock traders who set small stock trading profits repeatedly & trade many trades during the day so as to make these small profits many times repeatedly throughout the day.

Stock scalpers set and open stock trades that lasts from a few seconds to minutes. This stock scalping strategy tries to make profits from small changes in the stock price. Stock traders who use these methods are those stock traders that find it easier to make profits from small stock price moves rather than from the large stock price moves.

Stock Scalpers will make many stock trades in one day & stock scalpers can open anywhere between 10 -20 stock trades in a day or even more.

Stock Day Trading

Day Trading is used by stock traders who open & close stock trades within the same day. Stock day traders will close their open stock trades within the same day and stock day traders do not hold overnight stock trade positions - stock trades are opened only for a few hours and closed within the same day.

A stock day trader will open stock trades & close all stock trades before the stock market closes.

Stock day traders will also try to catch small to medium stock trading profits per stock trade. These stock day traders will try to profit from small to medium moves in the stock price movement. Stock day traders will generally open between 3 to 5 stock trades in one day.

Stock Day Trading is also sometimes referred to as stock intraday trading.

Stock Swing Trading

Stock Swing Trading is used by stock traders who want to capture the short term stock price trends and profit from these short term stock price trends.

Stock Swing Traders will open a stock trade & leave this stock trade open for several days so as to capture the short term stock market trend momentum & make profit from the short term stock market trend momentum.

Scalper stock traders will determine the direction of the short term stock market trend and then place stock trades in the direction of these short term stock market trend so as make profit from the medium stock price changes.

Stock swing traders will keep a stock trade open for a few days and these stock trades may last from 3 days to 7 days on average.

Stock Swing traders will open a few stock trades in a week and these stock swing traders may open anywhere between 3 to 5 stock trades in one week.

Stock Position Trading

Stock Position Trading is used by stock traders who want to capture the long term stock price trends and profit from these long term stock price trends.

Position stock traders will keep their stock trades open for weeks or even months.

Position stock traders will try to make profit from the large stock price changes in the stock price. Stock position traders will try to determine the long term stock trend and place stock trades so as to profit from the momentum of the long term stock trends.

Stock position traders will keep a stock trade open for a few weeks to a few months and these stock trades might last from a few weeks to a few months on average.

Stock position traders will open a few stock trades in a year & these stock position traders might open anywhere between 5 to 10 stock trades in one year.

Differences between Stock Scalping, Day Trading, Swing Trading & Position Trading

The differences between stock scalpers, stock day traders, stock swing traders & stock position traders are:

Stock scalpers - goal is to profit from short term stock price fluctuations and not from the medium term stock trend or long term primary stock trend

Stock day traders - goal is to profit from short term stock price fluctuations and not from the long term primary stock trend

Stock swing traders - goal is to profit from the momentum of a swing trend intermediated stock trend rather than from the long term primary stock trend rather or from the short term stock price fluctuations

Stock position traders - goal is to profit from the long term primary stock trend rather than from short term stock price fluctuations

Differences between Stock Scalping, Stock Day Trading, Stock Swing Trading & Stock Position Trading