Swing Trading system

Swing trading is commonly defined as a stock, index, or commodities trading practice whereby the instrument is bought or sold at or near the end of an up or down price swing caused by daily or weekly price volatility.[1][2] A swing trade position is typically open longer than a day, but shorter than trend following trades or buy and hold investment strategies. Swing traders engage in prospecting changes in an instrument’s price caused by oscillations between its price being bid up by optimism and alternatively being bid down by pessimism over a period of a few days, weeks, or months. Profits can be sought by engaging in either Long or Short trading

If you need to ask what swing trading is then chances are you need a little more experience under your belt before giving it a try.

Swing trading can be thought of as a hybrid between day trading and holding long term. Swing traders typically hold for a few days up to a few weeks in relation to the volatility of the stock. George Soros is widely known for his use of swing trading strategies but don’t expect the same results right out of the chute.

Swing trading depends on the filter criteria used for the swing charts such as time or percentage of high/low. For those of you who like charts, swing trading is going to be right up your alley! The type of swing trading strategy selected will vary depending upon the stock, market volatility and to some degree…individual preference.

If you are interested in technical trading analysis then begin swing trading by learning to read and understand two or three of the better known systems. A few you might find interesting include:

* Zig-Zag
* Point & Figure
* Kagi
* Renko
* Filter Waves

If you are brand new to swing trading then test your strategy right here at wallstreetsurvivor.com. Wall Street Survivor allows users to manage their own $100,000 fantasy stock portfolio while competing risk-free against friends, peers, colleagues or other players for the chance to win lucrative cash prizes.