Swing trading is a style where positions are held for several days to a few weeks, aiming to capture medium-term price swings. Swing traders combine technical and fundamental analysis to identify entry and exit points. This style requires fewer trades than day trading but involves overnight and weekend exposure.
A swing trader identifies a bullish reversal pattern on the daily GBP/USD chart. They buy at 1.2650 and hold the position for 8 days until the price reaches their target of 1.2850, capturing a 200-pip swing.
Ready to trade?
A-Book execution, 100+ instruments, and 24/5 multilingual support.