Resolved Question
I want to learn swing trading. Can someone point me in the right direction?
Been doing mostly scalping for the past three years but I want to trade for a living and I don't think I'll be able to do it through scalping the markets. I believe swing trading holds the answer. If someone could teach me a couple of successful strategies I would greatly appreciate it.Thank you
over 2 years ago
Best Answer - Chosen by Voters
Swing trading means you'd be holding on to your trade for a couple of days or more. This also means that you should be checking out the price action on longer-term time frames, such as the 4-hour, daily, and weekly charts. Also, fundamental analysis can be pretty tricky when it comes to swing trading because you have to be able to figure out the general outlook that would prevail for the countries whose currencies you're working with. Chart patterns and support and resistance levels on long-term time frames are very helpful in swing trading.
over 2 years ago
Answers (4)
To add to Happypip's answer, I think one thing that you will have to try and overcome is to have the patience to hold your trade for a (MUCH) longer period of time. Yes, you will be have to be more aware of fundamental analysis - what news reports will be coming out and how they affect the currency markets - and key technical levels on longer time frames. However, you have been accustomed to scalping for 3 years already - shifting to a swing trading strategy will not happen overnight. I think you will need to get used to having wider stop losses and risking less on each trade while having the patience to hold on to your trade and follow your plan. It can be difficult to hold on to your trade when you see that it is going against you. I wish you the best of luck in your swing trading! :)
over 2 years ago
* You must be logged in to add comments. Sign In or Join Askpips.com.
Hello, stratagies to read the market are important. However stratagies to read yourself are even more important!! Scalpers generally scalp because they like being right( and in that there is a flaw). You can successfully scalp you just need to know how to do it to adhear to an appropriate risk management plan. If you are serious about becoming a top trader there is no better way than to have a hands on one on one coach. Visit the site given below if you are sucessful with being excepted in there one on one coaching they offer a guarantee of a six figure income within 3 years or you will get 100% of your money back and they will pay for you to have another coach. I bet you cant find an offer like that on the market!! Cheers Andy. There is no fast way to become a top trader as there are paradox`s with the way we are bought up that serve us in every day life however will kill us in the market!!
over 2 years ago
Source(s):
* You must be logged in to add comments. Sign In or Join Askpips.com.
Swing trading uses the same dynamics (technical analysis) as any of the other trading styles which uses a different time frame. You just need to account for a wider stop and profit targets vis-a-vis scalping to account for the higher movements in prices. Kindly refer also to the link below.
over 2 years ago
Source(s):
* You must be logged in to add comments. Sign In or Join Askpips.com.
I agree with all answers stated here and would like to add some more. If you are looking for swings, you need the proper tools. I did go through the same process months ago, and this is what worked for me after months of endless hours of work, study and testing. Change your mindset: Patience, self-trust and discipline are the basis to build the new strategies. Then the proper time frame: I use H6 and H12 charts and trade the swings that form on those charts. A swing and the corresponding trend may last for couple of days to weeks. Then support and resistance levels on those charts: very important to define the frame of reference for your trades. Then indicators that help me identify the formation of swings and trends (momentum): so I chose Bollinger Bands (please take your time to adjust the settings according to the pair and TF), and slow stochastics (again, settings are very important, take your time to set it correctly). Then an indicator to keep on the trend direction and not get confused when a swing against the trend happens: 35 SMA line keeps me on tracks. Then, a pair that builds nice swings: I chose GBP/JPY and EUR/JPY on H6 and H12 charts. And finally, a trading strategy: when my triggers come, I open 2 positions at the same time: one to be closed at the next support/resistance level, the other to keep it open until the trend ends (i move my SL and TP accordingly to secure my profits). The use of proper configured Bollinger Bands and Stochastics allow me to hedge myself against wrong entries (too early or too late), so I do not have to keep "so high" SL settings and keep my risk appropriate. Hope my own process from scalping to swing/mid-term trading helps you as well. Cheers!
over 2 years ago
* You must be logged in to add comments. Sign In or Join Askpips.com.
Resolved Questions in Trading Strategies
- What is intraday position? And how does it differ with overnight position?
- What is scalping? How profitable is it?
- Which indicator are you using? I know there are tons of indicators out there.
- Before you begin trading, do you set a certain goal to reach? If yes, is it important?
- How can I decrease the gap between entry and stop loss?
* You must be logged in to add comments. Sign In or Join Askpips.com.