Positional Trading | What do you mean by Positional Trading?
What do you mean by Positional Trading?
Ans. The positional trading is all about referring to hold the share for long term period like a position trader is one who holds a position, usually shares for the long term period from weeks to months, and even years.
Why Investors Use Position Trading?
Ans. The positional traders usually does follow trends after analysis market conditions through technical chart or fundamental Analysis, They may be who all are not risk takers or believing into securing funds instead of doing intraday trading or swing trading into the stock market. The Traders actually make profits by recognizing a trend in pre-determined time period. Position traders would look into at longer-term analyses such as the 200-day moving averages to identify the primary trend. Swing traders might look into at the 50-day average and day traders look at the 20-day average or even hourly, Five minutes charts moving averages.