What is Swing Trading? Pros and Cons

Swing trading is a popular trading strategy that aims to capture short- to medium-term gains in a financial instrument (stocks, currencies, commodities, etc.) over a period of days to weeks. Unlike day trading, which involves buying and selling assets within the same trading day, swing trading involves holding positions for a longer period, typically several days to several weeks, to capitalise on price movements within a trend. Swing traders often use technical analysis, chart patterns, and fundamental analysis to identify potential entry and exit points, aiming to profit from both upward and downward price swings.