Types of Stocks Traders: Scalpers, Day Traders, Swing Traders and Position Trading
Best Stocks Trader Type
There are different types of Stocks traders. The type of a Stocks trader one is depends on the amount of time that they hold their stocks trade transactions.
The different types of stocks traders also use different stocks chart timeframes to place their stock trades.
The different types of Stocks traders are:
- Scalpers
- Day traders
- Swing traders
- Position Stock traders
Each type of Stocks trader is explained below and as a beginner trader you can decide which type of Stocks trader you want to be based on your trading personality and the stock chart timeframe that you would want to be trading with.
Scalpers
The Stocks traders who are scalpers hold on to their stock trades for only a few minutes. With the objective of making a small amount of pips in profit, 5 to 10 to 20 pips.
Scalpers are the type of Stocks traders that make many stocks transactions in one day and participate in stock trading during the busiest times of the stock market. A scalper stocks trader can open anywhere between 30 to 50 stock trades per day.
Scalpers are Stocks traders that can make quick decisions.
Scalpers use 1 minute charts to put their stocks orders. They use 5 minutes Stocks Trading chart timeframe to determine the stocks trend, if the stocks trend is going up or down and to decide their entry and exit.
Scalper 5 minutes stocks time frame stocks strategy
A Scalper using 1 minute chart timeframe wants to go long, checks 5 minute chart, looks like the stocks example illustrated and explained below, since it shows the stocks trend is going up, the scalper will then decide it's okay to buy the stocks.
Types of Stocks Traders - Scalpers - Scalping Stock - Scalper Stocks Trader
Day Traders
Stocks Day Trader - This type of Stocks trader holds on to their stock trades for a few hours but not more than a day. With the objective of making quite a number of pips in profit, 30 to 70 pips.
The stocks day trader makes 2 or 5 stocks transactions in one day, participating during the busiest times of the stocks market and they do not hold their stocks orders overnight.
These Stocks traders use the 15 minutes Stocks Trading charts to put their stocks orders. They use 1 hour stocks chart to determine the stocks market trend, if it going up or down and to decide their entry and exit.
Stocks Day Trader 1 Hour time frame stocks strategy
A Stocks Trading day trader using 15 minutes chart wants to go long, checks 1 hour stocks chart timeframe, it looks like the stocks example illustrated and explained below, since it shows the stocks market stocks trend is going up, the stocks day trader will then decide it's okay to buy the stocks.
Types of Stock Market Traders - Stocks Day Traders - Stock Day Trading - Types of Stocks Traders
Swing Traders
Stocks Swing Traders - This type of stocks trader holds on to their Stocks trades for a few days to a week - With the objective of making a large number of pips in profit, 100 to 400 pips.
This type of stock trading market trader makes an average of 2 to 5 stocks transactions in one week, holding onto their trades overnight. Swing stocks method requires stocks traders who are patient.
This type of stocks trader uses the 1 hour Stocks Trading charts to put their stocks orders. Swing traders use the 4 hour stocks chart to determine the Stocks trend, if it is going up or down and to decide their entry and exit.
Stocks Swing Trader 4 Hour chart timeframe stocks strategy
A stocks swing trader using 1 hour stocks candlesticks charts wants to go short, checks 4 hour stocks candlesticks chart, it looks like the stocks example illustrated and explained below, since it shows the stocks trend is going down, the swing stocks trader will then decide it's okay to Sell/Go Short the stocks.
Types of Stocks Traders - Swing Traders - Swing Stock - Swing Traders
Position Traders
Position Traders - This type of stocks trader holds on to their stocks transaction for weeks or months. With the objective of making a large number of pips, 300 to 1000 pips.
Position Traders place an average of 2 to 5 orders in a year, position stocks method requires those who are patient, experienced and have huge account balances that can withstand huge draw-downs.
Position stocks traders use 1 day or weekly stocks charts to put their stocks orders. They use weekly stocks chart to determine the trend, if it going up or down and to decide their entry and exit.
Stocks Position Trader Weekly stocks chart timeframe stocks strategy
Position stocks trader using the daily stocks candlesticks charts wants to go short, checks weekly stocks chart timeframe, it looks like the stocks example illustrated and explained below, since weekly stocks chart timeframe shows the stocks trend is going down, the position stocks trader will then decide it is okay to sell - Go short.
Types of Stocks Traders - Position Traders - Position Stock - Position Traders
What's the best Stocks trader type?
The most popular type of Stocks trader or the best Stocks trader type is the day trader and scalper stocks trader depending on the method of stocks of each trader, but these two stocks methods are the most widely chosen stocks methods. Scalping stocks and requires those that can make quick decisions while stocks day trading is for those who want their stock trades to run for longer and have more time when making stocks decisions. When starting it is best to try stocks scalping or stocks day trading. This stocks methods are the best because you do not leave stocks orders open for too long. At the same time you do not leave stock trades open overnight and you can trade when you have time to watch the stocks market movements. In Stocks Trading it is best keep stocks orders open for as long as the stocks trend setup is in your direction and exit immediately once the stocks trend direction starts to reverse.
when it comes to the question about which type of stocks style is used by the best Stocks traders or by the top Stocks traders the two stocks methods above are the most commonly used stocks methods. Stocks traders can also automate these scalping or day trading styles by implementing their stocks strategies using automated stock trading robots.
For stocks swing traders, leaving stocks trade transactions too long can also take up your profit and this stocks method also requires a lot of skills so it is best to stick to the short term stocks methods for most beginner Stocks traders.
Position stocks is not good as it requires a huge account balance and sometime it can result to huge draw-downs.
For stocks swing trading and position stocks methods, leaving a stocks trade transaction open for too long, may mean these trades can reverse and move against you with a lot of pip movements and can even wipe your stock trading account, for this reason swing and position stocks methods are not very popular. It is best to stick to stocks scalping and stocks day trading so as to better manage the funds in your stock trading account.
It is not recommended for the Stocks trader who is a beginner to leave orders open overnight, it is best to always close open stocks orders at the end of the day.
Stocks Trading News Traders - Types of Stocks Traders - Stocks Trading News Trading - this stocks news trader places stocks orders during economic news release time, either guessing the news will be positive/negative or placing pending stocks orders above and below the stocks price. Stocks Trading News trading method is risky as volatility is massive, whilst liquidity may be non-existent. You may not get filled or, worse, your stop loss might not be honored! Stocks Trading News Trading method can be very profitable for some stocks traders but requires some skills.
Stocks Robot Traders - Types of Stocks Traders - Automated Stocks Traders - the stock trading robot trader - automated stocks trader is the type of stocks trader that uses automated stocks programs known as stock trading robots - EA Robots - Expert Advisors - Automated Robots to trade the online stock market. This automated stocks trader will install an Automated Stocks Robot on their stocks trading software and the automated trading robot will then open and close trades on behalf of the stocks trader based on the trading strategy that has been used to program this automated stock trading robot. If you are new to automated stock trading and would like to find a Stocks trader using automated trading robots to help you come up with an automated trading robot, then you can find out more about automated trading on the Stocks Expert Advisors Article - MQL5 Stocks EA Robots Forum.
