Stock Trading

Fundamentals of Stock Trading

A stock trader has the same objective as a stock investor: to profit from buying and selling stocks or stock-related derivatives like stock options. I include equity mutual funds, ETFs and stock indexes in the stock category.

Most stock traders use technical indicators to guide their timing, or events such as earnings announcements and stock splits. One way stock traders are different is in how long the trader plans to hold their positions: their time horizon.

Day Trading

This demands paying close attention and management of their positions, so usually day trading is a full-time profession. Day trading is often seen as the most risky trading style, and emotional day traders can lose their money quickly. Day trading resources are available in our trader directory.

Swing Trading

Swing trading holds positions from a few days to a few weeks. Swing trading can be done by beginner traders all the way to advanced. Some examples from my past swing trading is playing earnings announcements and stock splits.

Position Trading

Swing and position trading is ideal for people who trade part time. That is why my trading focuses on swing and position trading. We make it even easier by offering trading systems for part-time traders, so you do very little to trade stocks.

Buying undervalued beaten down stocks is a position trading strategy; one we use in the trading systems featured on this site. Position trading systems are usually simpler than day and swing trading systems, and take about 30 minutes a day to implement. My first trading experiences was as a position trader, trading stocks and mutual funds.

I thought my first article here should describe what stock trading is, how it is different than stock investing, and what part of stock trading this blog is focused on. Buying undervalued beaten down stocks is a position trading strategy; one we use in the trading systems featured on this site. Position trading systems are usually simpler than day and swing trading systems, and take about 30 minutes a day to implement. My first trading experiences was as a position trader, trading stocks and mutual funds. That is why my trading focuses on swing and position trading.