This type of trading does not necessarily pursue a stock’s overall price trend. In the massive scheme of things, stock rates could be trending lower – but a swing trader may still view it as a chance if there are massive amounts of swings on the way down. By swing trading, you’re just viewing to capitalize on the swings on a stock’s price.
For instance, say a stock has been trending downward for a moment. But a momentum indicator indicates that the stock is oversold, and it will soon bounce back upwards. A speculative swing trader will try to time the market and grab in and out with a profit over the period of a few days. Open Demat account with us for trading.