Day Trading vs Long Term Trading, Which Is the Best ?

Day Trading vs Long Term Trading, Which Is the Best ? img source : cointobuy
Day Trading vs Long Term Trading, Which Is the Best ? img source : cointobuy - Day Trading versus Long Term Trading, Which Is the Best ? Forex Trend Rules All traders love good and strong trends. As traders, Many of us want to make quick profits, and who doesn't? The only problem is making quick profits. We tend to ignore the more profitable strategies that represent the long-term trend.

First, let's talk about the anatomy of short-term trading. Short-term traders can last anywhere from less than one minute to about 20. If you are really lucky, a 20-minute trade should be very profitable. This is a great trade and in day trading, trades between 1 and 5 minutes are more common. as a trader, you must decide in a split second whether to enter a short-term trade or not.

Knowledgeable traders will set exit, profit, and stop-loss points when entering short-term trades. However, most traders set Stop Loss but do not set a target for their profit, leaving the exit to their own discretion and usually luck. If you are trading short-term, set an exit point before entering a trade. You can customize it at any time while trading. But you need to protect yourself from sudden reversals and changes in market sentiment.

Long-term Forex trading is often overlooked by many traders. For one reason or another, most Forex traders believe that most of the money comes from scalping the market, and holding positions overnight is not the best strategy. Hmm ... the assumption is wrong. In this aspect, the Forex market is very similar to the stock market. ... and the markets where long-term charts are traded. Whether you are using daily or weekly charts. There is an opportunity to make big profits.

The reason is other than special events. Currencies generate large gains and losses on longer timeframes rather than 30-minute intervals. If you look at a long-term chart of any currency pair, you will notice that if you trade on a longer-term chart, you will see a long-term chart. You will get the maximum profit. This is because instead of making a small profit per day with trending currency. You will follow trends for days, weeks, and sometimes months. Where do you see better opportunities?

I agree long-term charts give you a better chance of maximizing your profits. But it takes discipline and rethinking your attitude to stay in the trade for a longer period of time.

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