Day trading vs. Swing trading
When it comes to trading styles, traders typically differentiate between two styles: day trading and swing trading. Swing traders usually operate on the higher time frames (mainly the weekly, daily, and sometimes the 4H) and they have a longer-term approach to their trading. On the other hand, day traders mainly trade on the intraday charts such as the 1H, 30 min and 15min. Day traders follow a very different approach and their trading is much more short-term. A third trading style that sometimes comes up is called “scalping”, which is basically an extreme form of day trading – Scalpers are usually on even lower time frames (5 min, 1 min and tick charts) and they often hold trades for just a few seconds or minutes.