POSITION TRADING: that trading
method is used when the trader is going to make a decision within a given
context or certain criteria while INTRADAY TRADING is
strictly mechanical.
A Position Trader is going to
hold his position for a long time frame from months to years. It’s really a
safe way of investing with a relatively small amounts of capital.
DISADVANTAGE OF POSITION TRADING
Your trades might take months and the profits will only barely be able
to cover your cost of overhead.
Day Trader: This type of trader is more skilled and
flexible as Intraday trading requires experience – lots of it – especially
focusing on order entry techniques and a deep understanding of exit points as
he is trying to make profits from a small change in prices with rapid trades
during the trading day.
And usually he tries to close all his positions before the market closes
and doesn’t leave any open positions overnight. Intraday traders base their
trades on strategies such as Swing trading, arbitrage,
candlestick patterns and trend lines.....