Mastering the market: The comprehensive guide to position trading in stocks

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Mastering the market: The comprehensive guide to position trading in stocks

Position trading is for longer-term orientation, meaning the intention to ride on trends lasting from weeks to even months or years. It bears little similarity to either day trading or swing trading, in which there is a very high turnover of transactions and positions, but seeks to hold a position for a far greater amount of time. With its self-explanatory definition, must include yet another virtue: patience and quite a lot of discipline on the part of the trader.

That being said, this is not because position traders at the workplace are pretending the daily noise and volatility in the stock market. They tend to focus on macroeconomic trends, developments in sectoral rotation and significant company news that impacts the stock price over an elongated period of time. This style of trading allows one to ride major market waves and catch enormous moves in prices, hence the preference by many traders who do not want a less clinical trading environment.

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